Last updated 10 months ago
Fraud on Cardano—scams, Sybil attacks, rug pulls—erodes trust and adoption. Current detection is slow and reactive. We need AI-powered, real-time defense to protect users and the ecosystem.
CyberSarbah Labs will build an AI-powered fraud detection system for Cardano, delivering real-time alerts, predictive analytics, and community tools to stop scams before they cause damage.
This is the total amount allocated to AI-Powered Real-Time Fraud Detection for Cardano DeFi.
Please provide your proposal title
AI-Powered Real-Time Fraud Detection for Cardano DeFi
Enter the amount of funding you are requesting in ADA
98500
Please specify how many months you expect your project to last
9
Please indicate if your proposal has been auto-translated
No
Original Language
en
What is the problem you want to solve?
Fraud on Cardano—scams, Sybil attacks, rug pulls—erodes trust and adoption. Current detection is slow and reactive. We need AI-powered, real-time defense to protect users and the ecosystem.
Supporting links
Does your project have any dependencies on other organizations, technical or otherwise?
Yes
Describe any dependencies or write 'No dependencies'
The project depends on access to Cardano blockchain data, AI tools, and cloud hosting services, all of which are currently accessible and within project control.
Will your project's outputs be fully open source?
Yes
License and Additional Information
Yes — Fully Open Source. CyberSarbah Labs’ fraud detection tools, models, and APIs will be released under the Apache 2.0 license to ensure free use, modification, and integration within the Cardano ecosystem.
Please choose the most relevant theme and tag related to the outcomes of your proposal.
Identity & Verification
Describe what makes your idea innovative compared to what has been previously funded (whether by you or others).
CyberSarbah Labs builds an open-source, Cardano-optimized AI security framework that uses supervised learning, anomaly detection, and explainable AI (XAI) to flag fraud within milliseconds. Unlike previous funded tools, we process live on-chain data with blockchain-specific feature extraction, feed results into an IPFS-based threat intelligence network, and enable community-driven updates. Our API-first design embeds directly into wallets, dApps, and Hydra/Midnight sidechains, delivering transparent, adaptive, and enterprise-grade fraud prevention at scale.
Describe what your prototype or MVP will demonstrate, and where it can be accessed.
Our MVP will showcase real-time AI fraud detection on Cardano’s testnet, identifying suspicious transactions within milliseconds and explaining results via XAI for transparency. It will feature a live web dashboard, a public API for wallet/dApp integration, and an IPFS-hosted threat ledger for immutable sharing. A sandbox will allow simulation of scams, phishing, rug pulls, and Sybil attacks. Accessible via CyberSarbah Labs’ website, GitHub, and a secure cloud demo, it will invite global community testing, feedback, and rapid model optimization for deployment on mainnet.
Describe realistic measures of success, ideally with on-chain metrics.
Success will be measured by 90% fraud detection accuracy, 5% false positives, and 500 verified scam incidents logged on-chain/IPFS in 8 months. Achieve 10 wallet/dApp API integrations, 1,000 unique addresses using our threat intel contract, and monitor 80% of Cardano’s daily transaction volume. Additional KPIs: <3s API latency, 99% uptime, 20 active reporting nodes, 5 academic/industry citations, monthly community-led model updates, 15% month-on-month user growth, cross-chain detection expansion, and sustained developer contributions via open-source GitHub commits.
Please describe your proposed solution and how it addresses the problem
Cardano’s rapid growth has made it a prime target for fraudsters, scammers, and phishing attackers. While the ecosystem thrives on decentralization and trustless systems, this openness creates vulnerabilities — from fake airdrops and impersonation scams to sophisticated transaction laundering patterns. Currently, the community lacks a unified, real-time, AI-powered infrastructure that can detect, record, and prevent fraud before it causes irreversible financial and reputational damage. Manual detection methods, community warnings, and reactive measures are fragmented, inconsistent, and often too late.
Our aim is to to establish the first AI-driven, on-chain fraud intelligence network for Cardano — a system that combines machine learning, blockchain immutability, and open APIs to deliver a transparent, real-time defense against scams. We believe that securing the Cardano ecosystem requires a collaborative, open-source, and interoperable approach that empowers wallets, dApps, exchanges, and the wider community to detect threats early and act decisively.
Addressing the Problem
Our platform will continuously monitor on-chain activity, social channels, and known scam databases using advanced machine learning models to detect suspicious patterns in real time.
When a potential threat is identified—such as abnormal transaction flows, phishing links, or wallet activity linked to previous scams—the system automatically generates an immutable report stored on-chain/IPFS. This ensures data integrity, public auditability, and instant access for the community.
By offering APIs and plugins for wallets, dApps, and exchanges, we integrate proactive security directly where users interact, reducing the time between scam detection and prevention from days to seconds. This not only prevents losses but also empowers the Cardano community to actively participate in threat intelligence, creating a self-sustaining network of security contributors.
Through this fusion of AI automation, blockchain immutability, and crowdsourced intelligence, we turn security from a reactive measure into a proactive defense system—directly addressing the gaps in speed, transparency, and collaboration that currently allow scams to thrive.
Why This Solution Is Effective
This because it will combine the precision of AI-driven threat detection with the trustless transparency of blockchain. Unlike traditional security systems that rely on centralized monitoring, our approach uses decentralized intelligence—aggregating scam reports, on-chain analytics, and real-time pattern recognition to detect threats before they escalate.
The use of immutable on-chain and IPFS records ensures that once a threat is identified, it cannot be hidden, altered, or suppressed. This creates a permanent, verifiable trail of security intelligence that any Cardano user, dApp, or exchange can reference.
By integrating directly with wallets, marketplaces, and DeFi platforms via lightweight APIs, we deliver security at the point of user interaction—closing the gap between detection and prevention. The open-source model encourages global collaboration, allowing developers, auditors, and everyday users to contribute to and benefit from a growing defense network.
This layered, community-driven approach makes the solution adaptive, transparent, and highly scalable, ensuring long-term effectiveness in protecting Cardano users from evolving scam tactics.
Please define the positive impact your project will have on the wider Cardano community
CyberSarbah Labs will deliver a transformative impact on the Cardano ecosystem by addressing one of the network’s most critical challenges: security, transparency, and trust.
Fraud, scams, and malicious activity remain persistent barriers to user confidence and mainstream adoption, particularly in emerging markets like Africa. By combining AI-driven threat detection, immutable on-chain data storage, and open-source accessibility, our platform will provide a comprehensive solution that empowers users, developers, and stakeholders to operate securely, while strengthening the overall ecosystem.
At the core of our solution is real-time monitoring of on-chain transactions, wallet behaviors, and project activity. Using advanced machine learning models, the system identifies suspicious patterns such as abnormal transaction flows, rapid stake movements, wallet clustering linked to past scams, and phishing attempts across social channels. Once detected, incidents are recorded on-chain and stored on IPFS for permanent, verifiable, and immutable access. This ensures that information cannot be altered, suppressed, or removed, creating a transparent security record that benefits the entire community. By offering APIs and lightweight plugins, our platform integrates directly into wallets, dApps, NFT marketplaces, and DeFi platforms, enabling immediate threat mitigation at the point of interaction.
The sucess of our project can be tracked using several on-chain metrics:
Number of Scam Reports Stored On-Chain: Each verified report contributes to a public, auditable record of malicious activity. Over time, the growth of this database provides a benchmark for threat visibility and community participation.
Detection Accuracy: The AI engine’s precision in identifying scams can be measured against historical transaction data and user-reported incidents, providing continuous feedback for improvement.
Reduction in Fraud-Related Transactions: By comparing the number of scam-related transactions before and after platform deployment, we can quantify reductions in financial losses attributable to the project.
Integration Rate with Cardano Projects: Tracking the number of dApps, wallets, marketplaces, and DeFi protocols utilizing our APIs demonstrates adoption and ecosystem penetration.
Community Engagement Metrics: Active participation by wallet addresses submitting, verifying, or flagging suspicious activities indicates trust in the platform and fosters a self-sustaining security network.
These metrics will not only provide a clear measure of success but also reinforce the transparency and auditability that are fundamental to Cardano’s philosophy. By enabling users to independently verify incidents and take preventive action, our solution shifts security from a reactive measure to a proactive community-driven approach.
Another positive impact of our project is that it extends beyond direct scam prevention. By providing reliable, real-time, and verifiable data, the platform strengthens trust across multiple segments of the Cardano ecosystem. Developers benefit from integrating security intelligence directly into their applications, reducing the risk of reputation damage and encouraging innovation without compromising user safety. Institutional participants, such as exchanges and investment platforms, gain confidence in Cardano’s operational integrity, making the network more attractive for larger-scale adoption.
The project’s impact is very important in regions where blockchain adoption is growing but security infrastructure is limited. In Ghana, for example, there are approximately three million crypto users who collectively transact billions of dollars annually. Many of these users lack access to reliable tools to assess risk or verify the credibility of projects. CyberSarbah Labs will bridge this gap by offering both educational resources and practical tools to detect and prevent scams, increasing confidence and adoption within local communities. Workshops, hackathons, and community engagement initiatives will empower local developers and enthusiasts with skills in blockchain analytics, AI integration, and secure transaction monitoring.
By educating and equipping local participants, the platform also fosters the next generation of blockchain innovators. Students and developers gain hands-on experience with on-chain data analytics, AI-driven pattern recognition, and security best practices. This builds local capacity to create additional tools and solutions that enhance the Cardano ecosystem, creating a multiplier effect of innovation and adoption.
Also Our Project will help reduce fraud and malicious activity has direct economic benefits. Safer networks retain more liquidity and encourage higher transaction volumes, benefiting both ADA holders and dApp developers. By mitigating the risk of financial loss, We will strengthen user confidence and reduces hesitancy in engaging with Cardano projects. Institutional investors and global partners are more likely to participate when transparent security mechanisms are in place, increasing capital inflows and supporting broader ecosystem growth.
Furthermore, by providing predictive insights and trend analysis related to scams and malicious activity, the platform enables proactive risk management. Developers and project teams can adjust smart contract behavior, staking mechanisms, or token distribution models to minimize exposure. This not only prevents losses but also informs better decision-making for governance, development prioritization, and network upgrades.
We're designed for long-term, sustainable impact and our open-source nature allows for ongoing community contribution, ensuring the platform evolves alongside emerging threats and network expansion. The combination of AI, on-chain verification, and community participation creates a resilient system that scales as Cardano grows. By establishing a permanent, verifiable, and collaborative threat intelligence hub, the project ensures that security improvements persist beyond the initial deployment, benefiting both current and future users.
The initiative also reinforces Cardano’s reputation as a research-driven, scientific blockchain. By leveraging rigorous data analysis, real-time monitoring, and transparent reporting, we align with the network’s principles of evidence-based innovation. The visibility of on-chain data, combined with measurable success metrics, demonstrates the practical application of scientific rigor in maintaining network integrity.
Our project will encourage community participation in security, fostering a culture of shared responsibility. By providing training, workshops, and documentation, we build local expertise in blockchain analytics and AI-driven security. This capacity-building initiative not only strengthens the Cardano ecosystem but also empowers individuals to pursue careers and projects within the blockchain space, particularly in underrepresented regions such as Africa.
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 possesses the necessary expertise, experience, and structure to ensure the successful delivery of the Cardano Data Insights Platform with high levels of trust and accountability. This capability stems from a combination of technical proficiency, rigorous project management, transparent open-source practices, and active community engagement. Each aspect of our approach has been designed to mitigate risks, provide verifiable results, and maintain credibility within the Cardano ecosystem.
Our technical foundation is anchored by Sarbah Richmond, our Team Lead, a senior IT professional with over a decade of experience in software development, systems architecture, and blockchain deployment. Sarbah has successfully managed large-scale software projects and cloud-based infrastructure, ensuring robust, scalable, and secure systems. He will oversee the implementation of the Cardano full node, the DB-Sync integration, the data pipeline, and backend/frontend development. This technical leadership guarantees that the platform will be built according to best practices, optimized for performance, and capable of handling the full volume of Cardano blockchain data.
Milestone Title
Project Setup & Infrastructure
Milestone Outputs
Finalize system architecture, technical design, and workflow.
Set up Cardano full node and DB-Sync integration for continuous data collection.
Configure scalable databases (PostgreSQL or time-series DB) for real-time and historical analytics.
Deliverable: Fully synced blockchain data, documented infrastructure, and ready development environment.
Acceptance Criteria
System Architecture Documentation:
Complete and approved system architecture diagram, showing data flow, analytics modules, and integration points.
Technical stack, libraries, and tools clearly specified.
Blockchain Node Setup:
Full Cardano node installed and fully synced with the latest blockchain data.
DB-Sync successfully integrated and verified, ensuring continuous collection of transactions, blocks, and smart contract logs.
Database Configuration:
Scalable database (PostgreSQL or time-series DB) set up and tested.
Historical blockchain data imported and queryable.
Real-time data ingestion pipeline verified.
Development Environment Ready:
Backend and frontend environments configured with necessary libraries and dependencies.
Version control repository (Git) initialized and accessible to the team.
Basic security and access protocols established for development.
Internal Verification & Approval:
All components tested internally for functionality and reliability.
Team review confirms infrastructure meets technical requirements for the next milestone.
Evidence of Completion
System Architecture Documentation:
Uploaded PDF or visual diagram of the finalized system architecture, clearly showing data flow, analytics modules, and integration points.
Technical stack list with versions of all tools, libraries, and frameworks used.
Blockchain Node & DB-Sync Verification:
Screenshot of the Cardano full node fully synced with the blockchain.
Logs from DB-Sync showing successful ingestion of blocks, transactions, and smart contract events.
Sample query output from the database confirming access to historical data.
Database Setup Evidence:
Screenshots of the database tables and data entries confirming successful import.
Performance metrics (e.g., query execution times) showing the database is ready for analytics.
Development Environment Confirmation:
Screenshot of backend/frontend environment running successfully.
Git repository link showing initial commits, folder structure, and access for team members.
Team Verification:
Internal sign-off document or email confirming that infrastructure is fully functional and ready for Milestone 2.
Checklist showing all technical setup tasks completed.
Delivery Month
2
Cost
18500
Progress
20 %
Milestone Title
Core Analytics Development
Milestone Outputs
Backend analytics modules fully developed to generate key Cardano insights:
Transaction metrics (daily transactions, active addresses, smart contract usage)
Wallet clustering and behavior analysis
Anomaly detection for unusual network activity
Predictive models for staking and transaction trends
Internal testing of analytics engine with sample data sets
API endpoints designed for external developer/researcher access
Acceptance Criteria
Analytics modules return accurate, verifiable results for all test queries.
Predictive models show reasonable accuracy on historical data (validated against known trends).
API endpoints deliver structured, documented responses.
Unit testing completed with ≥90% of backend functions passing.
Team review confirms readiness for integration with the web platform (Milestone 3).
Evidence of Completion
Screenshot of backend scripts running successfully with sample outputs.
Logs from analytics engine showing transaction metrics, clustering results, and anomaly detection.
Sample API calls with documented responses.
Test report showing model validation metrics and results.
Internal sign-off from the team confirming analytics engine readiness.
Delivery Month
2
Cost
22230
Progress
20 %
Milestone Title
Web Application Development & User Interface
Milestone Outputs
Fully functional web application (frontend) connected to the backend analytics engine.
Interactive dashboards displaying key Cardano metrics (transactions, active addresses, smart contract activity).
User query interface allowing filtering by time, transaction type, wallet behavior, or other analytics results.
Initial integration of API endpoints for programmatic data access.
Mobile-responsive design to ensure usability across devices.
Acceptance Criteria
Frontend correctly displays analytics outputs from the backend.
Dashboards are interactive, with filters and data visualization functional.
API endpoints are accessible and return structured, documented data.
Mobile responsiveness verified on major devices (smartphones, tablets, desktop).
User feedback from internal test users indicates the interface is intuitive and functional.
Team review confirms readiness for public testing in Milestone 4.
Evidence of Completion
Screenshot of live web dashboard showing sample data and analytics charts.
Demonstration video of user interactions with the platform (filtering, querying, visualization).
Logs confirming API calls returning accurate data.
Mobile and desktop screenshots demonstrating responsive design.
Internal team approval document confirming web app functionality.
Delivery Month
2
Cost
20700
Progress
20 %
Milestone Title
Community Testing & Feedback
Milestone Outputs
Conduct a hands-on community workshop in Ghana with local tech enthusiasts, students, and blockchain users.
Participants interact with the platform to explore Cardano analytics, dashboards, and API endpoints.
Collect structured feedback through surveys, guided tasks, and interviews on usability, functionality, and additional feature requests.
Compile a comprehensive Community Testing Report summarizing insights, identified bugs, and suggestions for improvement.
Prioritize improvements and prepare an implementation plan for Milestone 5.
Acceptance Criteria
Workshop conducted with at least 50 participants attending and actively using the platform.
Feedback collected from a minimum of 80% of participants through surveys or interviews.
Community Testing Report completed with actionable recommendations for UI/UX, functionality, and additional features.
Team review confirms all critical issues and suggestions are documented and prioritized for implementation.
Evidence of community engagement (photos, attendance sheets, feedback forms).
Evidence of Completion
Workshop attendance records and photos.
Completed participant feedback surveys and interview transcripts.
Community Testing Report detailing findings, issues, and improvement recommendations.
Internal team approval confirming readiness to implement changes in Milestone 5.
Any preliminary bug fixes or minor updates applied during the workshop.
Delivery Month
2
Cost
19470
Progress
20 %
Milestone Title
Final Refinement & Project Launch
Milestone Outputs
Implement all high-priority improvements and bug fixes identified during community testing in Milestone 4.
Optimize the platform for performance, scalability, and security.
Finalize UI/UX adjustments for better accessibility and ease of navigation.
Deploy the final public version of the Cardano analytics platform.
Prepare comprehensive documentation, including a user guide and API reference.
Execute a launch campaign (press release, social media posts, and Cardano community forum updates).
Acceptance Criteria
All high-priority feedback items from the Community Testing Report have been implemented and verified.
The platform passes final QA testing for functionality, security, and performance.
Documentation is clear, accessible, and complete (user guide + API reference).
Final version is deployed to the live environment and accessible to the public.
Launch campaign successfully executed with public engagement metrics recorded.
Evidence of Completion
Final live platform URL and demonstration video.
Completed list of implemented changes and fixes.
QA testing report with pass status on all critical items.
Publicly available documentation (user guide, API reference).
Screenshots and analytics from launch campaign showing reach and engagement.
Delivery Month
1
Cost
17600
Progress
20 %
Please provide a cost breakdown of the proposed work and resources
Detailed Cost Breakdown by Milestone
Milestone 1 – Research & Requirements Gathering (₳18,500)
Breakdown:
Personnel (Researchers, Project Lead, Community Manager) – ₳9,000
Research Tools & Surveys – ₳2,500
Data Collection & Processing – ₳4,000
Administrative Costs (communication, document preparation) – ₳3,000
Milestone 2 – Platform Architecture & UI/UX Design (₳22,230)
Breakdown:
UI/UX Designer Fees – ₳8,500
Platform Wireframes & Mockups – ₳4,000
Technical Architecture Documentation – ₳5,000
Collaboration Tools & Prototyping Software – ₳2,730
Stakeholder Feedback Sessions – ₳2,000
Milestone 3 – Blockchain & Smart Contract Development (₳21,600)
Breakdown:
Blockchain Developer Fees – ₳10,000
Smart Contract Development – ₳6,500
Blockchain Node Hosting & Deployment – ₳3,500
Code Review & Auditing – ₳1,600
Milestone 4 – AI Integration & Data Analytics (₳18,570)
Breakdown:
AI Developer/ML Specialist – ₳9,000
AI Model Training & Testing – ₳4,500
Data Storage & Processing Costs – ₳3,070
Security & Privacy Enhancements – ₳2,000
Milestone 5 – Testing, Deployment & Community Onboarding (₳17,600)
Breakdown:
Quality Assurance (QA) Testing – ₳5,000
Bug Fixing & Optimization – ₳3,500
Community Training & Onboarding Materials – ₳4,000
Marketing & Launch Campaign – ₳3,500
Post-Launch Support (first month) – ₳1,600
Budget Allocation by Cost Category
Personnel – ₳63,000 (63.9% of total)
Covers developer fees, AI specialist, blockchain security expert, UI/UX designer, project lead, and community manager.
Technology & Infrastructure – ₳17,000 (17.3% of total)
Includes cloud hosting, blockchain nodes, AI processing, development tools, and domain costs.
Research & Data Collection – ₳7,500 (7.6% of total)
Covers player scouting reports, surveys, and other data acquisition activities.
Community Engagement – ₳6,000 (6.1% of total)
Includes marketing, workshops, training sessions, and launch campaigns.
Testing & QA – ₳5,000 (5.1% of total)
For penetration testing, user testing, and bug fixing prior to launch.
Total Budget – ₳98,500 (100% of total)
How does the cost of the project represent value for the Cardano ecosystem?
Personnel – Funding skilled developers, AI specialists, blockchain security experts, UI/UX designers, and community managers directly grows Cardano’s talent pool. Every line of code, design decision, and security measure strengthens Cardano’s reputation as a blockchain capable of delivering secure, innovative, real-world applications.
Technology & Infrastructure – Investment in blockchain nodes, cloud hosting, AI processing, and secure development tools ensures the platform runs smoothly on Cardano. This also lays down reusable infrastructure for future projects, making the ecosystem more robust and developer-friendly.
Research & Data Collection – High-quality player data and scouting reports are stored securely on the Cardano blockchain, demonstrating its capacity for handling verified, high-value datasets. This builds trust with stakeholders who depend on accuracy and immutability.
Community Engagement – Workshops, training, and awareness campaigns introduce entirely new groups—athletes, coaches, and scouts—to Cardano wallets, smart contracts, and decentralized ID. This drives adoption from grassroots levels and builds long-term loyalty.
Testing & Quality Assurance – Thorough penetration testing and bug fixing ensure the platform is reliable, secure, and worthy of being a Cardano-powered solution. A flawless user experience reinforces the perception of Cardano as a blockchain for mission-critical use cases
Terms and Conditions:
Yes
Role: Oversees the entire project, ensures objectives are met, manages timelines, coordinates team activities, and handles stakeholder engagement.
Contribution: Richmond’s background in IT, blockchain advocacy, and community development ensures strong leadership, effective planning, and alignment with Cardano’s values. He will also serve as the main point of contact for funders and partners.
2.Seidu Haruna – Developer
Role: Responsible for building and integrating the decentralized career pathway platform on the Cardano blockchain.
Contribution: Brings hands-on coding expertise, blockchain integration skills, and experience in creating secure, user-friendly interfaces. Ensures the platform is functional, scalable, and fully interoperable with Cardano tools.
3.Clifford Edusei – Blockchain Security & Infrastructure Specialist
Role: Oversees the security architecture, smart contract deployment, and blockchain data management.
Contribution: Ensures the platform is secure, reliable, and resistant to fraud or tampering, thereby maintaining trust with users and stakeholders.
This team has successfully worked together on Rush Virtual Health Assistant and other technology-driven projects, demonstrating a proven ability to deliver innovative solutions on time and within budget. This track record ensures strong teamwork, smooth communication, and the capability to meet project goals.
4.Ruth Okwaning Owusu is a Machine Learning Expert and Strategic Sales & Business Analyst with a strong background in data-driven decision-making, artificial intelligence, and fraud detection systems. A graduate of the University of Ghana Business School (UGBS, Class of 2023), Ruth has consistently demonstrated a unique ability to bridge the worlds of business strategy and advanced machine learning, making her a critical force in projects that combine cutting-edge technology with practical real-world applications.In this project, Ruth will take the help in designing and training fraud detection models, working closely with blockchain developers to ensure seamless integration with Cardano DeFi protocols. She will oversee the deployment of machine learning pipelines, design key performance metrics for fraud detection accuracy, and develop strategies for continuous monitoring and improvement. By combining her machine learning expertise with her strategic business analysis background, she will ensure that the system is not only technically robust but also user-friendly, scalable, and aligned with the broader vision of the Cardano ecosystem.