Fluid swaps - Trade CNTs against BTC, ETH or MATIC

[GENERAL] Name and surname of main applicant

Matteo Coppola

[GENERAL] Are you delivering this project as an individual or as an entity (whether formally incorporated or not)

Entity (Incorporated)

[GENERAL] Requested funds in ada

148000

[GENERAL] Please specify how many months you expect your project to last (from 2-12 months)

6

[GENERAL] Please indicate if your proposal has been auto-translated into English from another language

No

[GENERAL] Summarize your solution to the problem (200-character limit including spaces)

Utilize Hash Time Locked Contracts (HTLCs) to enable secure atomic swaps between Cardano tokens and assets on other blockchains, such as EVM or Bitcoin, ensuring decentralized cross-chain trades.

[GENERAL] Does your project have any dependencies on other organizations, technical or otherwise?

No

[GENERAL] If YES, please describe what the dependency is and why you believe it is essential for your project’s delivery. If NO, please write “No dependencies.”

No dependencies.

[GENERAL] Will your project’s output/s be fully open source?

Yes

[GENERAL] Please provide here more information on the open source status of your project outputs

Open source with MIT license

[METADATA] Horizons

P2P

[SOLUTION] Please describe your proposed solution

Our MVP will list CNTs alongside assets such as Runes, allowing users to experience atomic swaps firsthand. We’ll measure success through trade volume, user engagement, and the security and reliability of the swaps. User feedback and community adoption will be essential metrics in determining the platform's impact.

[IMPACT] Please define the positive impact your project will have on the wider Cardano community

We will track impact using both quantitative and qualitative metrics:

• Quantitative:
• Transaction Speed & Reliability: Time taken for swaps and the success rate of completed transactions.
• Qualitative:
• User Feedback: Feedback from users, developers, and community members regarding the platform's ease of use, security, and value.

[CAPABILITY & FEASIBILITY] What is your capability to deliver your project with high levels of trust and accountability? How do you intend to validate if your approach is feasible?

Our team's expertise and prior experience in developing cross-chain capabilities underscore our ability to execute this project with high levels of trust and accountability. We have successfully built decentralized applications (DApps) that demonstrate our proficiency in integrating multiple blockchain ecosystems, including Bitcoin.

https://app.fluidtokens.com/btc/swap

[PROJECT MILESTONES] What are the key milestones you need to achieve in order to complete your project successfully?

Smart Contract Development for Cardano and Bitcoin Script

• Description: Develop and audit the Hash Time Locked Contract (HTLC) for Cardano and the corresponding Bitcoin script. This milestone focuses on ensuring secure and reliable atomic swap functionality between Cardano Native Tokens (CNTs) and Bitcoin.
• Deliverables:
• Completed Cardano HTLC smart contract code.
• Completed Bitcoin HTLC script.
• Security audit report for both contracts.
• Timeline: [1 month]

Milestone 2: Smart Contract Development for Cardano and EVM Contract

• Description: Develop and audit the HTLC for Cardano and the corresponding Ethereum Virtual Machine (EVM) contract. This milestone will enable atomic swaps between CNTs and ERC20 tokens.
• Deliverables:
• Completed Cardano HTLC smart contract code.
• Completed EVM HTLC contract code.
• Security audit report for both contracts.
• Timeline: 2 months

Milestone 3: Frontend Development for Testnet Integration

• Description: Create a user-friendly frontend interface that facilitates atomic swaps on the testnet. This will allow users to conduct test transactions, providing valuable feedback before the mainnet launch.
• Deliverables:
• Functional frontend interface for atomic swaps.
• Integration with Cardano and EVM contracts on the testnet.
• User documentation and testing guides.
• Timeline: 2 months

Milestone 4: Mainnet Launch

• Description: Deploy the fully tested and audited smart contracts and frontend interface to the Cardano mainnet. This milestone marks the official launch of the atomic swap platform, allowing real users to trade CNTs against Bitcoin and ERC20 tokens.
• Deliverables:
• Deployed Cardano HTLC and EVM contracts on the mainnet.
• Live frontend interface accessible to users.
• Launch event and marketing campaign to promote the platform.
• Timeline: 1 month

Description: Conduct a thorough review of the project, gather feedback from users, and finalize documentation. This phase will ensure that all objectives are met, and any outstanding issues are addressed.

Deliverables:

• Comprehensive project report detailing outcomes, challenges, and user feedback.
• Finalized user documentation and technical resources.
• Post-launch support plan and community engagement strategy.

[RESOURCES] Who is in the project team and what are their roles?

• Matteo Coppola: A certified Cloud Architect and senior Blockchain developer with expertise in both Ethereum and Cardano. A co-author of CIP-113, Matteo brings invaluable knowledge to the project.
• Raul Antonio Rosa Padilla: A skilled smart contract developer with a strong grasp of offchain integrations, ensuring smooth interaction between DEX and smart contracts.
• Ullas M.: Ullas is a seasoned frontend developer who will spearhead the creation of an intuitive and user-friendly interface for the DEX and token management platform.
• Alberto Rizzi: Alberto's expertise in backend development will be crucial in building the robust infrastructure required to support the DEX and smart contract functionalities.

[BUDGET & COSTS] Please provide a cost breakdown of the proposed work and resources

1. Smart Contract Development: This includes the development and auditing of the Hash Time Locked Contract (HTLC) for Cardano and the Bitcoin scripts. It covers personnel costs for blockchain developers and auditors.Cost: $15,000
2. EVM Contract Development: This involves the development and auditing of the HTLC for Cardano and the corresponding Ethereum Virtual Machine (EVM) contracts. It includes personnel costs for developers and auditors.Cost: $15,000
3. Frontend Development: This covers the design and implementation of a user-friendly frontend interface for testnet integration. It includes costs for frontend developers and UI/UX designers.Cost: $10,000
4. Testing and QA: This includes comprehensive testing of all contracts and the frontend on both the testnet and mainnet. It covers costs for QA testers and bug fixes.Cost: $5,000
5. Deployment and Launch: This involves deploying contracts to the mainnet, a marketing campaign, and organizing a launch event. It includes costs for promotional materials and event organization.Cost: $8,000
6. Documentation and Support: This covers the creation of user documentation, technical resources, and post-launch support plans.Cost: $5,000
7. Miscellaneous Expenses: A contingency fund for unexpected costs, such as additional audits or unforeseen technical challenges.Cost: $2,000

Total Cost: $60,000 around 140,000 ADA

[VALUE FOR MONEY] How does the cost of the project represent value for money for the Cardano ecosystem?

By enabling atomic swaps between Cardano Native Tokens (CNTs) and assets from other blockchains (such as Bitcoin and Ethereum), the project will enhance Cardano’s interoperability. This is crucial for attracting more users and developers to the platform, ultimately strengthening the ecosystem.