Obymare: Stablecoin protocol for Cardano I Big Blymp

[GENERAL] Name and surname of main applicant

Brandon Chukwuka

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

Entity (Not Incorporated)

[GENERAL] Requested funds in ada

150000

[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)

We will develop a decentralized stablecoin protocol on Cardano, using ADA as collateral, with smart contracts ensuring stability and transparency, boosting Cardano’s DeFi ecosystem.

[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

Will be fully open source.

[METADATA] Horizons

Stablecoin

[SOLUTION] Please describe your proposed solution

Our proposed solution is to develop Obymare, a decentralized stablecoin protocol on Cardano. It will use ADA as collateral to mint a USD-pegged stablecoin ($OBYUSD) governed by smart contracts, ensuring transparency and stability. The protocol will also employ a dual-token system, with the utility token $OBYIII incentivizing stability through arbitrage mechanisms.

Cardano’s DeFi ecosystem lacks a reliable, decentralized stablecoin, which limits its growth and total value locked (TVL). Users often leave the ecosystem to find more stable, secure assets, reducing DeFi participation on Cardano.

Our Approach:

By leveraging ADA as collateral and creating an incentive structure for maintaining the USD peg, we aim to provide a decentralized and trustless solution that will attract users and liquidity to Cardano’s DeFi ecosystem. Our approach includes a robust arbitrage mechanism, NFT-backed loans to track terms, and staking rewards via ADA delegation to increase protocol efficiency.

Target Audience:

The project will engage Cardano DeFi users, liquidity providers, and developers seeking to build or utilize stablecoin solutions. Our platform is designed to benefit the entire ecosystem by providing a secure, decentralized stablecoin solution that will increase user retention and grow the TVL.

Proving Impact:

We will measure success through metrics such as the number of $OBYUSD minted, liquidity provided, and the increase in TVL on Cardano. Regular updates, audits, and user feedback will help demonstrate our ongoing impact.

Uniqueness:

What sets Obymare apart is the combination of decentralized collateralization and innovative NFT-backed loans. This approach will not only provide stability but also improve user engagement and trust, making Cardano's DeFi ecosystem more competitive and attractive.

This solution is critical for Cardano as it will help retain and grow the ecosystem, fostering innovation and promoting financial stability in a decentralized manner.

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

Obymare will bring a critical piece of infrastructure to the Cardano ecosystem by providing a decentralized stablecoin solution, enhancing the overall functionality and appeal of Cardano’s DeFi space. This will increase Total Value Locked (TVL), attract new users, and encourage liquidity providers to stay within the ecosystem, fostering growth and long-term sustainability.

Measuring Impact:

We will measure the impact of the Obymare protocol through both quantitative and qualitative metrics:

• Long term Metrics:
• $OBYUSD Minted: Number of stablecoins created, reflecting user adoption.
• Total Value Locked (TVL): Growth in TVL within Cardano’s DeFi ecosystem as users engage with Obymare.
• Number of Users: Number of unique users interacting with the platform.
• Collateral Locked in ADA: Amount of ADA staked as collateral for minting $OBYUSD.
• Loans Issued: Number of loans backed by NFTs, showcasing the adoption of the loan feature.
• 
  
• Qualitative Metrics:
• User Feedback: Surveys and community feedback to assess user satisfaction, UI/UX improvements, and the perceived stability of $OBYUSD.
• Partnerships and Integrations: The number of third-party DeFi applications, projects, and wallets that integrate Obymare.

Sharing Outputs and Opportunities:

We will ensure full transparency and community engagement by sharing our progress, results, and updates through:

• GitHub Repository: All smart contracts, technical documentation, and code will be open-source and regularly updated.
• Community Channels: Progress will be shared through Medium, Discord, and Twitter.
• Collaborations: We will actively engage with other DeFi protocols and projects within Cardano to foster collaboration, provide cross-chain solutions, and expand Obymare’s use cases.

This project will empower the Cardano community by providing a secure, decentralized, and reliable stablecoin option, ultimately fostering broader DeFi participation and contributing to the long-term success of the ecosystem.

[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 has the skills, experience, and track record necessary to successfully deliver the Obymare stablecoin protocol. We have successfully developed and deployed smart contracts for Yamfore, demonstrating a deep understanding of the ecosystem and its specific technical requirements. We have advisors with significant expertise in decentralized finance (DeFi), stablecoin mechanisms, and blockchain economics, ensuring that our solution is designed with sound economic principles and user incentives.

The team is led by Brandon Chukwuka, the founder of Yamfore, whose leadership and vision have been instrumental in delivering one of Cardano's most secure and well-reviewed DeFi applications. Our Smart contracts developer is Dominic Wallis (Waalge) Math PhD. Formerly ML engineer and full-stack dev. DApp developer since Alonzo HF. Aiken contributor. 

The entire team is composed of exceptional professionals with a proven track record in the space. Diego Macchi, a respected community advisor, rounds out the team with his deep understanding of DeFi and the Cardano ecosystem. Linda, a Cardano OG, MALU Stake Pool Operator, is a community expert specializing in DeFi, content creation, and engagement strategies. She has been a driving force behind the success of several Cardano initiatives and brings invaluable experience in content creation and she will contribute to the project as an external member.

We will develop a Minimum Viable Product (MVP) within the first few months, allowing us to validate the core functionality of Obymare’s stablecoin mechanics. Testing will occur on the Cardano testnet, ensuring the smart contracts are functioning correctly before launch.

We have already outlined a clear roadmap with deliverables at each phase, ensuring consistent progress toward the MVP. This includes completing smart contracts for minting, stability mechanisms, and NFT loan tracking.

User Feedback and Iteration:

As part of our development, we will engage early users and the Cardano community to provide feedback during the testnet phase. This iterative process will allow us to refine the protocol based on real user experiences and feedback.

Our capability to deliver this project comes from our team’s expertise, structured approach, and commitment to transparency and security. Through careful planning, rigorous testing, and responsible fund management, we aim to provide the Cardano community with a reliable, decentralized stablecoin solution.

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

Smart Contract Design  (Month 1-2)

• Objective: Initial architecture design for the Obymare smart contracts.
• Deliverables: Initial architecture document and flow diagrams explaining the smart contract structure and logic.
• Acceptance Criteria: Initial smart contract design, with a technical document.

Smart Contract Development (Month 3-4)

• Objective: Develop the core smart contracts for minting and collateralizing $OBYUSD stablecoin using ADA.
• Deliverables:
• Completion of the smart contracts that handle the minting, burning, and collateralization process.
• Acceptance Criteria:
• 
  
• Documentation of the smart contract structure and functionality is published on GitHub.

Educative videos and Communications Campaign (Month 5)

• Objective: Educational video about Obymare
• Deliverables: Creation of educational video and outreach efforts to introduce the protocol to the broader Cardano and DeFi community. Similar than thishttps://www.youtube.com/watch?v=DMXC2QLIwqY&t=1s

Acceptance Criteria: Educational video posted on Youtube and X.

Project Close-Out Report and Video (Month 6)

• Objective: Publish a final report.
• Deliverables: Comprehensive close-out report and a project video summarizing the impact and next steps.

Acceptance Criteria: Public release of the report and video.

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

Brandon Chukwuka

Role: Lead Project Manager - Big Blymp Founder

Responsibilities: Overseeing the project, managing timelines, coordinating development, and ensuring milestones are met.

X: zartsnarf

Diego Macchi

Diego Macchi is a graduate from the Economic University of Buenos Aires. Cardano OG and member of de DeFi community.

Role: Community Advisor

Responsibilities: Community advisor and partnerships lead.

X: diegomac35

Dominic Wallis (Waalge)

Waalge is Math PhD. Formerly ML engineer and full-stack dev. DApp developer since Alonzo HF. Aiken contributor, particularly the nix maintenance and fuzz lib. 

Role: Smart Contract Developer

Responsibilities: Developing the core Aiken smart contracts and ensuring the protocol’s security and functionality.

Developing the user interface for interacting with the lending pools, managing deposits, and yield visualization.

X: Waalge

GitHub: https://github.com/waalge

Jimmy

Role: Front End Developer

Responsibilities: Developing the front end smart contracts

https://0xjimmy.xyz/

X: 0xjimmy_eth

GitHub: https://github.com/0xjimmy

Gritar

Role: Graphic Designer

Responsibilities: design the user interface for interacting with the lending pools, managing deposits, and yield visualization.

X: gritar

Linda - MALU Pool 

Role: Marketing and communications

Responsibilities: Video content creation and educational resources.

X: Cryptofly777

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

Smart Contract Design : Initial architecture design for Obymare smart contracts.

2 Aiken Developers 12,500 ADA/month for 2 months = 50,000 ADA

Tasks: Smart contract design, architecture documentation, flow diagrams.

Smart Contract Development:

2 Developers 12,500 ADA/month for 2 months = 50,000 ADA

Tasks: Coding, debugging, testing, and ensuring compatibility with the Cardano network.

Testnet operations, deployment tools, and security checks = 10,000 ADA

Needed for contract testing, deployment environments, and testing token utilities.

Educative Videos & Communications Campaign 

Content Creation (Video Production):

Video production, editing, script writing = 12,000 ADA

Video script creation, editing, and animation for educational content on Obymare.

Project Manager:

1 Project Manager  4,000 ADA / month for 6 months = 24,000 ADA

Tasks: Overseeing development, ensuring milestones are met, managing timelines and team.

Miscellaneous 4,000

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

The cost of this project represents significant value for money for the Cardano ecosystem due to its strategic importance and the benefits it will deliver in terms of DeFi growth.

The development of Obymare addresses a critical gap in the Cardano ecosystem—a decentralized, robust stablecoin solution. This will provide stability and attract liquidity to Cardano’s DeFi projects, fostering TVL growth and enhancing the competitiveness of our ecosystem.

By offering a reliable, decentralized stablecoin, we can attract both users and developers who are currently looking for solutions. This growth in user base and developer interest will bring more innovation and engagement to the ecosystem.

Obymare represents value for money by delivering a critical solution for the Cardano DeFi ecosystem at a competitive and justified price. By adhering to industry standard rates and focusing on high-impact outcomes, we ensure that every ADA spent contributes directly to the growth and stability of the Cardano ecosystem. This investment will bring long-term benefits in terms of user adoption, liquidity, and developer engagement.