Gas Fee Sponsorship System for Cardano Users

[GENERAL] Name and surname of main applicant

Peter Seungwook Jung

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

Individual

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

7

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

Yes

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

We want to create a gas fee sponsorship system where users do not pay gas fees, but the foundation of a specific service covers the gas fees.

[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

Full open

[METADATA] Horizons

Business Services

[SOLUTION] Please describe your proposed solution

The reason we initially planned the gas fee sponsorship system is due to South Korea's token securities guidelines, which state that separate virtual assets should not be required when trading token securities. As a result, token securities in South Korea would not be able to utilize the Cardano blockchain. However, if gas fees are covered by the token issuing companies or similar entities, it would comply with the South Korean guidelines and enable the use of the Cardano blockchain.

Additionally, in many Cardano-based services, such as NFT trading, users must hold ADA to pay for gas fees. This reduces accessibility for users and creates barriers to activating and growing these services. Therefore, a gas fee sponsorship service is necessary.

The solution is that the entity submitting the transaction will cover the gas fees. Therefore, with MultiSig, the user first signs the transaction, and then the foundation receives it, signs it, and submits it, allowing the foundation to pay the gas fees on behalf of the user.

We are a team, one is cardano developer and another is blockchain specialist who developed Sponsorship System for EVM based blockchain, finally I am a project manager.

We will make SDK, which connects to our system that has cardan node, and the SDK will open to Cardano community.

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

By our gas fee sponsorship system, many Cardano services can be made for a better user experience and it removes the barriers that the user has to have enough ADA for gas fees.

With our service, Cardano will be more active.

[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?

One team mamber made a gas fee sponsership system and has many experiences blockchain services.

We also operate cardano.kr and we study a lot about Cardano.

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

Output: Backend-Server connecting with Cardano Node (4 months).

Acceptance criteria:

• MultiSig Cardano Contract
• Restful API of Backend-Server
• The system checks work results

Output: Javascript SDK for service. (2 months)

Acceptance criteria:

• Working SDK results
• Open Javascript SDK

Output: Front-end Server for giving Information and Doc (1 month).

Acceptance criteria:

• Web Sites URL
• Doc web page

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

Peter Seungwook Jung - Advisor and Project Management

• Professor in IT security at Konyang University in Korea
• Research field is blockchain, cryptography, IT security

Sung-un Kang - Blockchain Expert.

• Over 7 years of experience in blockchain development
• made gas fee sponsorship service for EVM-based blockchain

Hyoung-woo Park - Cardano Developer

• 2 years of experience in Cardano Blockchain and Haskell programming

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

Milestone 1: (4 month)

Backend-Server connecting with Cardano Node

• MultiSig Cardano Contract
• Restful API of Backend-Server

Resources:

• 1 Project Leader: Cost $8,000 (4 months)
• 1 Backend Developer: Cost $8,000 (4 months)
• 1 Blockchain Developer: Cost $3,000 (2 months)
• Total: $19,000

Milestone 2: (2 month)

Javascript SDK for service. (2 months)

• making SDK

Resources:

• 1 Project Leader: Cost $4,000 (2 months)
• 1 Backend Developer: Cost $4,000 (2 months)
• 1 Blockchain Developer: Cost $3,000 (2 months)
• Total: $11,000

Milestone 3: (1 month)

Making Web site

• Web Sites
• Doc web page

Resources:

• 1 Project Leader: Cost $2,000 (1 months)
• UX/UI Developer: Cost $3,000 (1 months)
• 1 Blockchain Developer: Cost $1,500 (1 months)
• Total: $6,500

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

In Korea, for developers minimum salary is about 2,000$. So our cost is not expensive.