TreasuryX: Building Stablecoin Infrastructure for a Decentralized Future

[GENERAL] Name and surname of main applicant

Bundeep Singh Rangar

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

Entity (Incorporated)

[GENERAL] Co-proposers and additional applicants

Reeve Collins, reeve@treasuryx.com

Avtar Sehra, avtar@treasuryx.com

[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)

TreasuryX will deliver USDX, a stablecoin backed by RWAs especially insurance assets. Our protocol enables Cardano users to natively mint and distribute stablecoins where they reap yield and rewards.

[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

The project is an open-source multichain protocol, with Cardano and Midnight being key networks where TreasuryX stable and yield generating assets will be issued and distributed. The positive element of using Midnight is enabling shielding of holdings and transaction flows. 

The project is committed to transparency and community collaboration. We plan to release the codebase under a modified MIT License. Under the standard MIT License, users are free to view, use, copy, modify, merge, publish, distribute, sublicense, and sell copies of the software, provided they include the original license and copyright notice with any significant portions of the code.

Our modification involves making the code publicly available on GitHub only when the project goes onto the testnet, allowing for public review and scrutiny. Additionally, we will impose a restriction on copying or commercial use of the code for a period of three years to protect the project’s early development. After this period, the full rights under the standard MIT License will apply, encouraging broader innovation and contributions from the community. All core components, including protocol logic, smart contracts, APIs, and developer tools, will be open-sourced, with any exceptions clearly documented.

[METADATA] Horizons

Stablecoin

[SOLUTION] Please describe your proposed solution

TreasuryX: Revolutionizing Cardano's DeFi Landscape with Real-World Asset-Backed Stablecoins

TreasuryX is poised to launch USDX, a stablecoin backed by the principal of RWAs, delivering high yields to users who participate in the minting process and fostering deeper liquidity within Cardano's decentralized finance ecosystem. By establishing liquidity pools and seamlessly integrating with decentralized applications, USDX empowers Cardano's DeFi ecosystem, stimulating activity and increasing the total value locked.

Unlocking Value from Tokenized RWAs

Harnessing a growing pool of tokenized RWAs, including previously untapped insurance industry assets, our protocol presents a unique value proposition through a three-token model.

The Power of Three Tokens: USDX, YLD, and XYZ

This innovative model, featuring USDX (stablecoin), YLD (yield-bearing token), and XYZ (governance token), provides a comprehensive solution that seamlessly integrates yield generation, liquidity provision, and governance, driving ecosystem growth and adoption.

A Simple and Rewarding User Journey

The user journey is designed for simplicity and efficiency:

1.⁠ ⁠Users deposit tokenized RWAs into TreasuryX.

2.⁠ ⁠The tokenized RWAs are processed through the TreasuryX protocol, generating two distinct tokens: 

• USDX: A freely tradable stablecoin that can be utilized like any other stablecoin in the market.
• YLD: This token allows users to earn yields generated from the RWAs they posted as collateral. Interest accrues directly in the user's wallet.

3.⁠ ⁠Users receive consistent yields over time for minting USDX, enjoying the flexibility to spend the USDX while earning that yield.

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

The launch of USDX will substantially enhance liquidity and trading volume within Cardano’s DeFi ecosystem, driving higher TVL and fostering the growth of new DApps. This development will boost demand and utility for ADA, strengthen Cardano’s reputation in DeFi, and expand its use cases, promoting broader institutional and retail adoption. Moreover, introducing an institutional grade stablecoin will attract traditional finance (TradFi) investors, further integrating Cardano with global financial markets.

[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?

TreasuryX is built on a foundation of trust and accountability, driven by a team with proven success in both traditional finance and the digital asset space. Our co-founders bring expertise in blockchain, stablecoin development, tokenization, and decentralized finance, exemplified by their leadership roles in companies like Tether and Libre Capital.

To validate our approach, we leverage:

• Strategic Partnerships: A proprietary connection with a Cardano-related VC fund ensures liquidity and access to a broader network within the Cardano ecosystem.

• Industry Expertise: Our team's deep understanding of blockchain technology, financial markets, and regulatory landscapes allows us to navigate the complexities of the digital asset industry.

• Transparency and Communication: We are committed to maintaining open communication channels and providing regular updates to our community, fostering trust and accountability.

This combination of expertise, strategic partnerships, and commitment to transparency positions TreasuryX for success in delivering innovative and secure financial solutions.

Feasibility:

The feasibility of the TreasuryX platform is grounded in our top-tier team of executives, who bring extensive financial and blockchain expertise, along with exceptional technical capabilities. This team is well-equipped to lead the development and implementation of a decentralized protocol. We have complete confidence in our ability to deliver the platform on time and within budget, with the potential to exceed performance expectations.

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

Q3 2024

• Establish TreasuryX's legal structure.
• ⁠Prepare for the purchase of RWAs.

Q4 2024

• ⁠Work on protocol tech development.
• Open investment opportunities for accredited investors.

Q1 2025

• Create a Special Purpose Vehicle (SPV) for asset purchases.
• Purchase and tokenize RWAs.
• Conduct protocol audits.
• Make strategic asset purchases from foundations.

Q2 2025

• Launch the TreasuryX interface.
• ⁠Issue YLD and USDX tokens.
• ⁠Establish markets on lending protocols.
• List USDX tokens on crypto exchanges.

Q3 2025

• ⁠Initiate user token sales within the ecosystem.
• ⁠Users can stake assets and participate in governance.
• Enable on-chain payments 
• ⁠Tokenize fund units.

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

Bundeep Singh Rangar, CEO

A seasoned fintech entrepreneur and investor, Bundeep brings extensive experience in venture capital and digital asset management. As the founder of PremFina, a UK Insurtech firm backed by prominent investors, he leads TreasuryX's operational strategy, fundraising, and product innovation.

Reeve Collins, Chairman

A pioneer in stablecoin technology, Reeve co-founded Tether, the world's largest stablecoin. He leverages his deep expertise in launching and scaling tech ventures to guide TreasuryX's strategic direction and vision, focusing on emerging technologies and decentralized finance solutions.

Avtar Sehra, Head of Protocol (Advisor)

A recognized expert in tokenization and fintech, Avtar founded Libre Capital, a leader in the tokenization process. He provides strategic guidance on regulatory and tokenization aspects for TreasuryX, ensuring compliance and alignment with industry best practices.

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

The protocol build costs will be allotted to developing the three-token protocol architecture. This depends on the time and materials, with plans to hire an in-house team of three to five developers, supplemented by outsourcing to top-tier development firms. The budget for tech development is estimated to be between $500,000 and $1 million in the first year, contingent on the speed at which we can scale resources to align with our roadmap.

Additional tokenization costs are expected, although we have secured favorable rates through our partnership with the Cardano tokenization platform. 

The projected cost breakdown for the proposed work also includes an estimated $500,000 for legal and regulatory compliance expenses in the first year. This aims to establish operations across various jurisdictions and ensure global compliance for both our stablecoin and the YLD security token.

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

The project’s costs are dedicated to developing the first asset-backed stablecoin on Cardano, designed to deliver high yield to minters while enhancing liquidity and trading volume within Cardano’s DeFi ecosystem. TreasuryX aims to increase ADA’s utility by integrating USDX into key DApps, thereby driving total value locked. This growth in ecosystem activity and adoption will attract both institutional and retail investors, positioning Cardano as a leading platform for DeFi innovation.

Consequently, the potential return on investment is substantial, as it establishes a robust foundation for future DeFi projects and increased institutional engagement.