Open-Source Cardano Payment Gateway for E-Commerce mini app

[GENERAL] Name and surname of main applicant

Tewodros Sintayehu Teshome

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

Entity (Incorporated)

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

9

[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 build an open-source Cardano payment gateway, enabling e-commerce platforms to offer secure, low-fee, global transactions using ADA, improving accessibility and reducing costs.

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

Yes

[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.”

1. Cardano Wallet Integration: We rely on external Cardano wallets (e.g., Yoroi, Daedalus, Nami) for payment processing. We have the necessary permissions to integrate these wallets.
2. Third-Party API for Currency Conversion: The gateway will use third-party services to provide real-time ADA-to-fiat currency conversion, ensuring accurate transaction amounts.
3. Azure Cloud Services: We will leverage Azure for secure transaction management and data processing, which may introduce dependency on Azure’s uptime and performance.

These dependencies are essential to ensure secure and seamless payment processing and may affect the timeline if delays occur with external providers. Let me know if you'd like to modify or expand on this!

[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

e will use the MIT License for the Cardano payment gateway, ensuring that the code is freely available for others to use, modify, and distribute. The following components of the project will be open-source and available on GitHub throughout the project's lifecycle

• Payment Gateway Code: All core code for processing ADA payments, including integration with Cardano wallets and transaction validation, will be open source.
• API for Currency Conversion: The code managing real-time currency conversion between ADA and local currencies will be available for customization.
• Integration Documentation: Comprehensive guides and tutorials for other developers to integrate the gateway into their platforms will be shared.

Certain proprietary services, such as Azure Cloud Services for transaction management, will not be open-source, but they are compatible with the open-source components. This ensures a balance between transparency and secure infrastructure.

[METADATA] Horizons

Wallet

[SOLUTION] Please describe your proposed solution

Proposed Solution

We are solving the problem of limited global accessibility, high transaction fees, and security vulnerabilities in traditional e-commerce payment systems by developing an open-source Cardano payment gateway. This gateway will allow merchants to accept ADA (Cardano’s native cryptocurrency) for payments, enabling secure, fast, and low-cost transactions for e-commerce platforms globally.

The gateway will be fully open-source, allowing developers from around the world to integrate it into their platforms easily. It will support major Cardano wallets (such as Yoroi, Daedalus, Nami, Flint) and provide real-time transaction validation using Cardano’s Ouroboros Proof-of-Stake (PoS) protocol. By building this solution, we aim to make ADA a mainstream payment option while ensuring transparency, security, and scalability.

Why This Approach?

We chose this approach for several reasons

1. Cardano’s Robust Blockchain: Cardano is built for scalability, security, and sustainability, making it ideal for managing payments on a global scale. Its low transaction fees and secure PoS protocol make it a natural choice for e-commerce.
2. Open-Source Collaboration: By making the gateway open source, we allow for community-driven innovation. Developers can customize and expand the gateway, fostering broader adoption and integration into various platforms.
3. Global Reach and Accessibility: ADA offers borderless transactions, solving the challenge of cross-border payments and providing a financial option for regions with limited access to traditional banking systems.

Who Will Benefit?

• E-commerce Platforms: Businesses that integrate this gateway will benefit from lower transaction fees, enhanced security, and the ability to reach global customers.
• Merchants and Consumers: Both will experience fast, secure payments with minimal fees, particularly for international transactions, which are typically costly using traditional methods.
• Developers: With the open-source nature of the gateway, developers can freely adapt and improve the code, contributing to the Cardano ecosystem’s growth and functionality.

Demonstrating and Proving Impact

We will measure impact through

• Number of platforms integrating the Cardano Payment Gateway: Tracking adoption by e-commerce sites and businesses.
• Transaction Volume: Monitoring the number and volume of ADA transactions processed through the gateway.
• Global Reach: Measuring the geographic distribution of merchants and consumers using the gateway.
• Open-Source Contributions: Monitoring how developers engage with and contribute to the codebase, helping the project evolve.

What Makes This Solution Unique?

• Open-Source Flexibility: The payment gateway will be freely available for any platform to integrate, offering full transparency and the ability for others to build on and improve it.
• Low Fees and Scalability: By leveraging Cardano’s efficient blockchain, we offer a solution that is both low-cost and highly scalable, ideal for global e-commerce.
• Educational Component: Alongside the technical integration, we will educate users and businesses on how ADA payments work, further promoting the adoption of Cardano across new sectors and regions.

Why This Matters to Cardano

This project promotes ADA adoption, increasing its utility for real-world transactions and further establishing Cardano as a leading blockchain in global commerce. By building an open-source gateway, we are fostering the development of decentralized financial infrastructure, aligning with Cardano’s mission to provide sustainable, secure, and scalable blockchain solutions to a global audience.

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

Impact on the Cardano Community

Our project will have a significant positive impact on the wider Cardano community by

1. Driving ADA Adoption:

• By developing an open-source Cardano Payment Gateway, we will enable more businesses, particularly e-commerce platforms, to accept ADA as a form of payment. This will increase the utility and real-world usage of ADA, driving broader adoption both within and outside the Cardano ecosystem.

1. Expanding Cardano's Reach:

• The gateway will make ADA payments accessible to businesses and customers worldwide, promoting the use of Cardano’s blockchain technology in regions with limited traditional banking infrastructure. This aligns with Cardano’s goal of financial inclusion, as it allows users to make cross-border transactions securely and efficiently.

1. Supporting Open-Source Innovation:

• By making the payment gateway open source, we invite developers from around the world to collaborate and contribute to its improvement. This fosters a community-driven approach to enhancing Cardano’s infrastructure, encouraging innovation within the ecosystem.

1. Boosting Cardano Awareness:

• Our educational content will raise awareness about Cardano, teaching businesses and users how to integrate and use ADA payments. This will increase understanding and trust in the Cardano blockchain, encouraging further exploration and adoption of decentralized technologies.

Measuring Impact

We will measure impact using both quantitative and qualitative metrics

• Quantitative Metrics:

1. Platform Integrations: Tracking the number of e-commerce platforms and businesses that integrate the Cardano Payment Gateway.
2. Transaction Volume: Measuring the total number of ADA transactions processed through the gateway.
3. Global Reach: Assessing the geographic distribution of users and merchants adopting ADA payments.
4. Open-Source Contributions: Monitoring the number of developers contributing to the payment gateway’s codebase.

• Qualitative Metrics:

1. Feedback from Merchants and Users: Collecting testimonials and feedback on how the payment gateway has improved transaction efficiency, reduced costs, or expanded their business reach.
2. Case Studies: Highlighting success stories from businesses that have seen measurable improvements in operations and customer satisfaction due to ADA payments.

Sharing Outputs and Opportunities

1. Open-Source Repository:

• The code for the Cardano Payment Gateway will be available on GitHub under an open-source license (MIT License). This will allow developers to freely use, modify, and contribute to the project, ensuring that the gateway can be integrated into various platforms and improved over time.

1. Community Engagement:

• We will share updates, progress reports, and documentation through the Cardano forums, developer channels (e.g., Discord, Telegram), and social media to keep the community informed and involved.
• We will also host webinars and workshops to demonstrate the integration process and explain how businesses can benefit from ADA payments.

1. Partnerships:

• We will actively seek partnerships with e-commerce businesses and developer communities to encourage the integration of ADA payments, thereby creating further opportunities for adoption and innovation within the Cardano ecosystem.

Value to the Cardano Community

This project brings long-term value to the Cardano community by expanding ADA’s utility for real-world applications, promoting financial inclusion, and encouraging global adoption of Cardano’s blockchain technology. By supporting open-source development and educating users on ADA payments, we contribute to the growth and sustainability 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?

Capability to Deliver with Trust and Accountability

Our team is well-equipped to deliver this project due to our combined expertise in blockchain development, payment integration, and e-commerce solutions. We have a proven track record in implementing successful blockchain-based projects and open-source solutions. Our key team members include

1. Blockchain Developers: Our developers have experience building secure, decentralized solutions on the Cardano blockchain, including wallet integration and transaction management.
2. E-commerce Experts: We have previously integrated traditional and decentralized payment systems into various e-commerce platforms, making us highly skilled in designing seamless payment experiences.
3. Project Management: Our project management team is experienced in handling large-scale implementations, ensuring that each phase of development is completed on time and within budget. We adhere to best practices for agile development and transparent reporting.

Feasibility Validation

We will validate the feasibility of this project through several steps

1. Proven Technical Feasibility: We will leverage existing Cardano wallet integration tools (such as Yoroi, Daedalus, Nami) and Cardano’s Plutus and Marlowe smart contract frameworks, ensuring that our technical approach is built on proven infrastructure.
2. Pilot Testing: We will conduct pilot testing with Ashewa’s e-commerce platform before full deployment to ensure the gateway’s performance, security, and scalability in a live environment. Feedback from pilot tests will allow us to refine the system before broader release.
3. Community Feedback: As an open-source project, we will engage the Cardano developer community early in the development process, seeking feedback and contributions to improve the gateway’s functionality and adaptability for wider adoption.

Trustworthy Fund Management

To ensure transparency and accountability in fund management, we will implement the following processes

1. Milestone-Based Budget Allocation: Funds will be allocated in stages, based on specific project milestones such as payment gateway development, testing, and full-scale deployment. Each milestone will have clear deliverables and progress reports to ensure proper use of resources.
2. Regular Financial Reporting: We will provide transparent financial reports to the Cardano community, detailing how funds are being allocated and spent. These reports will be available at key stages of the project, ensuring accountability to all stakeholders.
3. Third-Party Auditing: If required, we will engage third-party auditors to review our financial management and project progress, further ensuring that all funds are used responsibly and in alignment with the project’s goals.

Why We Are Best Suited for This Project

• Proven Experience: Our team has successfully delivered similar projects, including blockchain integrations, open-source software, and secure payment solutions for e-commerce platforms.
• Open-Source Expertise: We have a strong background in open-source development, enabling us to collaborate effectively with the wider Cardano community and ensure the project evolves through community contributions.
• Track Record of Accountability: Our history of managing large-scale projects with transparency and accountability ensures that we can be trusted to manage the funds properly and deliver the project as promised.

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

Gateway Development & Initial Testing (Months 1-2)

• Objective: Develop the core functionality of the Cardano Payment Gateway, including integration with major Cardano wallets (Yoroi, Daedalus, Nami, Flint).

• Deliverables
• Completion of the open-source code for the payment gateway.
• Basic wallet integration for ADA payments.
• Initial internal testing of the payment process to ensure smooth transaction flows.

• Acceptance Criteria: Successful processing of test ADA payments through integrated wallets, with real-time validation.

 Security Audits and Pilot Testing (Months 3-4)

• Objective: Conduct security audits to ensure the payment gateway is secure and scalable. Perform pilot testing with Ashewa’s e-commerce platform to gather real-world feedback.

• Deliverables

• Comprehensive security audit reports with recommendations.
• Pilot testing with Ashewa’s platform, processing live ADA payments.
• User feedback collection to identify areas for improvement.

• Acceptance Criteria: Security audits completed, and live transactions processed successfully with minimal issues.

Full Platform Integration and Educational Resources (Months 5-6)

• Objective: Fully integrate the Cardano Payment Gateway into Ashewa’s e-commerce platform. Develop educational materials to guide other platforms on integration.

• Deliverables

• Full-scale implementation on Ashewa’s platform.
• Creation of video tutorials, documentation, and FAQs for integrating the payment gateway into other platforms.

• Acceptance Criteria: ADA payments fully functional on Ashewa’s platform, and educational content published for external users.

Marketing and Global Adoption Push (Month 7-8)

• Objective: Launch marketing campaigns to promote ADA payment integration and encourage global adoption by other e-commerce platforms.

• Deliverables
• ADA-based promotions and loyalty programs on Ashewa’s platform.
• Targeted marketing to global merchants, highlighting the benefits of ADA integration.
• Outreach to developer communities to encourage adoption of the open-source gateway.

• Acceptance Criteria: Successful launch of marketing campaigns and at least 5 external platforms expressing interest or starting integration.

Project Close-out Report and Video (Month 9)

• Objective: Compile the project close-out report and video to document the results, achievements, and lessons learned.
• Deliverables
• Detailed final report covering project outcomes, challenges, and future steps.
• A video summarizing the project’s development process, impact, and success.
• Acceptance Criteria Submission of the final report and video to Project Catalyst, showcasing the successful completion of the payment gateway and its integration.

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

Project Team and Roles

• Dejene Hailu Ayele – Co-founder at Ashewa Tech
• LinkedIn Profile:https://www.linkedin.com/in/dejene-hailu/
• Role: As co-founder of Ashewa Tech, Dejene will oversee the technical integration of the Cardano Payment Gateway into Ashewa’s e-commerce platform. He will also lead collaboration with external platforms and ensure smooth project execution. His expertise in managing large-scale tech projects will be critical to the project's success.

• Tewodros Sintayehu Teshome – Crypto Community Leader, CEO of FanosCrypto

• Role: As a crypto community leader, educator, and influencer, Tewodros will lead the project's vision and strategy. He will focus on community engagement, adoption, and outreach, ensuring that the Cardano Payment Gateway gains traction within the global crypto community. His experience as CEO of FanosCrypto will be instrumental in promoting the project.

Additional Team Members from the Leadership Team:

• Daniel Bekele – Chief Executive Officer
• Role: Oversees all aspects of project execution, including partnerships and long-term strategic planning.
• LinkedIn: https://www.linkedin.com/in/daniel-bekele-a174991b8/
• Feleke Feyissa – Chief Technology Officer
• Role: Supports the technical integration and ensures smooth deployment of the Cardano Payment Gateway across Ashewa's e-commerce platform.
• Seifu Admasu – Chief of Staff
• Role: Ensures internal team coordination and communication, facilitating smooth project management.
• LinkedIn:https://www.linkedin.com/in/seifu-admassu-4138a8b9/
• Birhanu Hailu – Sales Division Manager
• Role: Leads the efforts to onboard businesses to the payment gateway and expands the customer base.
• Mohamed Siraj – Chief Marketing Officer
• Role: Works with the Marketing and Community Engagement Specialist to drive adoption through promotional campaigns.
• Kasse Assefa – Resource Mobilization Manager
• Role: Focuses on resource allocation and financial planning to ensure the project stays on budget.
• LinkedIn:https://www.linkedin.com/in/kasse-assefa-lakew-b85264202/
• Dawit Wale – E-commerce G/Manager
• Role: Ensures that the e-commerce platform fully integrates the Cardano Payment Gateway, enhancing customer experience.
• Million Abay – Finance Manager
• Role: Manages the financial aspects of the project, ensuring secure and compliant transactions.
• Linkedin:https://www.linkedin.com/in/million-abay-398307316/
• Tewabe AlemaYehu – Human Resource Manager
• Role: Responsible for recruiting additional staff like content creators, smart contract developers, and customer support personnel for the project.
• Belete Dagnachew – Hybrid E-learning G/Manager
• Role: Supports educational initiatives, especially related to creating educational materials for integrating and using the Cardano Payment Gateway.

Engagement and Communication

We have already engaged with the necessary stakeholders, including Ashewa Tech and the Cardano community, and are leveraging Tewodros’ extensive network within the crypto world. Both Tewodros and Dejene have the capacity and commitment to lead this project to success.

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

Budget Breakdown

1. Development Costs (45,000 ADA)

• Blockchain Developers: 30,000 ADA
• To design, build, and test the open-source Cardano Payment Gateway, including wallet integration, transaction validation, and security audits.
• Smart Contract Development: 10,000 ADA
• For implementing and optimizing smart contracts for payment processing and ensuring scalability and security.
• Code Auditing & Security: 5,000 ADA
• External security audits to ensure the integrity and safety of the payment gateway.
• 
  

2. E-Commerce Integration and Testing (25,000 ADA)

• E-Commerce Platform Integration: 15,000 ADA
• Integrating the gateway with Ashewa’s platform and testing real-world payment flows to ensure reliability.
• Pilot Testing: 10,000 ADA
• Conducting pilot tests on Ashewa’s platform and other businesses to gather feedback and refine the system.

3. Marketing, Promotion, and Community Engagement (30,000 ADA)

• Marketing Campaigns: 15,000 ADA
• Paid advertising, email campaigns, and social media promotions to raise awareness about ADA payments, focusing on e-commerce businesses and the crypto community.
• Community Engagement: 10,000 ADA
• Hosting webinars, workshops, and Q&A sessions with the Cardano community to drive adoption of the payment gateway.
• Partnerships and PR: 5,000 ADA
• Building partnerships with merchants and industry influencers to boost visibility and adoption of the payment system.

4. Content Creation and Documentation (15,000 ADA)

• Educational Content Creation: 10,000 ADA
• Development of tutorials, video guides, and FAQs for merchants and developers on how to integrate and use the Cardano Payment Gateway.
• Documentation: 5,000 ADA
• Creating detailed technical documentation for developers, including open-source code repositories and step-by-step integration guides.

5. Project Management and Reporting (10,000 ADA)

• Project Management: 7,000 ADA
• Ensuring the project stays on track, managing timelines, budgets, and coordination among team members.
• Reporting and Documentation: 3,000 ADA
• Regular progress reports to the Cardano community, financial reporting, and final close-out report, including lessons learned.

6. Miscellaneous/Contingency (5,000 ADA)

• Allocated for unforeseen expenses that may arise during development or deployment.

Total Requested Funds: 130,000 ADA

Third-Party Services

• Security Auditing: External security audit services to ensure payment transactions are secure and compliant with blockchain standards.
• Marketing Platforms: We will use platforms such as Google Ads, Facebook Ads, and Twitter for targeted marketing campaigns.
• Cloud Services (Azure): Azure will be used for hosting and managing the payment infrastructure.

Value for Money

This budget offers value for money by investing in the development of an open-source solution that will benefit the entire Cardano ecosystem. By promoting ADA adoption and providing a secure, scalable payment gateway, this project will create long-term value for businesses and developers alike.

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

Value for Money

The cost of this project represents strong value for money for the Cardano ecosystem for several key reasons

1. Scalable, Open-Source Solution:

• The primary deliverable of this project is an open-source Cardano Payment Gateway, which can be used not only by Ashewa but also by other e-commerce platforms globally. This creates a multiplier effect, as businesses around the world will be able to adopt ADA payments, driving wider adoption of Cardano and making this a highly scalable solution. Once built, the gateway will continue to deliver value to the Cardano ecosystem without additional development costs.

1. Low-Cost Transactions:

• Traditional payment gateways, particularly for cross-border transactions, incur high fees. By leveraging Cardano’s low transaction costs, businesses using the gateway will save significantly on payment processing fees, making it an attractive alternative. The initial investment in this project creates long-term savings for businesses, providing value far beyond the development phase.

1. Developer and Community Growth:

• By making the gateway open source, we are enabling community-driven development. The initial investment of 130,000 ADA will create a foundation that the Cardano developer community can build upon, ensuring the project evolves and improves over time without significant additional cost. This aligns with Cardano’s decentralized philosophy and encourages global developer participation.

• Cost Justification

• Development and Integration Costs: The development costs are competitive and proportional to industry-standard rates for blockchain developers and smart contract experts. We have benchmarked these costs based on average freelance rates for developers in our region, ensuring fair compensation while remaining cost-effective.
• Marketing and Community Engagement: The 30,000 ADA allocated for marketing, promotion, and engagement is essential to ensure widespread adoption of the gateway. This will drive more businesses and users to adopt ADA as a payment method, increasing Cardano’s utility. These costs are aligned with typical digital marketing spend in the industry to reach a global audience.
• Security Audits: The cost for third-party security audits is a necessary investment to ensure the payment gateway is secure and compliant with blockchain standards. Given the importance of trust and security in payment systems, this cost is justified to protect both businesses and consumers.

• Long-Term Benefits

• The gateway will promote ADA adoption, making it a widely used digital currency in e-commerce. This drives liquidity and use-case adoption for ADA, enhancing the overall value of the Cardano ecosystem.
• The educational content and resources developed alongside the gateway will further support businesses and developers, promoting the wider use of Cardano blockchain technology.

• Sustainable Infrastructur

• The investment made into developing this gateway is sustainable, as it can be integrated into various platforms without needing further significant updates. The scalability of Cardano’s blockchain ensures that as transaction volumes grow, the infrastructure will remain efficient without the need for costly upgrades.

The initial investment in this project represents significant value for the Cardano ecosystem due to the scalability, open-source development model, and long-term adoption potential for ADA payments. By ensuring that the costs are aligned with industry standards and prioritizing community growth, we are creating a sustainable, impactful solution that benefits businesses, developers, and Cardano users alike.