Last updated 8 months ago
International money transfers are often expensive, delayed, and insecure. The reliance on traditional financial systems results in high fees and slow processes, preventing timely access to funds.
We propose developing a P2P platform using Midnight to facilitate fast, secure, and low-cost transnational money transfers with integrated Cardano Self-Sovereign identity (SSI) solution
This is the total amount allocated to Private Remittances with Midnight.
Please provide your proposal title
Private Remittances with Midnight
Enter the amount of funding you are requesting in ADA
100000
Please specify how many months you expect your project to last
12
Please indicate if your proposal has been auto-translated
No
Original Language
en
What is the problem you want to solve?
International money transfers are often expensive, delayed, and insecure. The reliance on traditional financial systems results in high fees and slow processes, preventing timely access to funds.
Supporting links
Does your project have any dependencies on other organizations, technical or otherwise?
No
Describe any dependencies or write 'No dependencies'
'No dependencies'
Will your project's outputs be fully open source?
Yes
License and Additional Information
The platform’s development will be fully open-sourced under the MIT License. This includes the smart contracts and the digital identity solutions used, fostering community collaboration and transparency.
Please choose the most relevant theme and tag related to the outcomes of your proposal.
Financial Services
Describe what makes your idea innovative compared to what has been previously funded (whether by you or others).
Private remittances on Cardano with the Midnight sidechain enable fast, low-cost, and privacy-preserving cross-border payments. Unlike traditional systems with high fees and delays, Midnight uses zero-knowledge proofs for selective disclosure, ensuring compliance without exposing transaction details. This innovation combines financial inclusion, regulatory trust, and programmable smart contracts, making remittances cheaper, faster, and more secure for unbanked populations worldwide.
Describe what your prototype or MVP will demonstrate, and where it can be accessed.
Our dApp will showcase private remittances on Cardano with Midnight, offering a simple dashboard to send, receive, and track cross-border payments. Users can view balances, FX rates, fees, compliance status, and proof of privacy through zero-knowledge receipts. It will demonstrate seamless bridging between Cardano and Midnight, cash-out options, and transaction history. The dApp can be accessed via a public web portal, mobile apps on iOS/Android, and an open-source GitHub repository for community review.
Describe realistic measures of success, ideally with on-chain metrics.
Key success metrics for the dApp include total remittance volume processed, number of active users onboarded, and average transaction cost compared to baseline blockchain fees. We will track transaction confirmation times to ensure speed, adoption in underbanked regions to measure financial inclusion, and user retention rates to validate usability. Additional indicators are regulatory compliance pass rates, number of integrations with local payout partners, and adoption of selective disclosure proofs through Midnight for privacy and trust.
Please describe your proposed solution and how it addresses the problem
Problem Perception:
International money transfers, particularly for individuals in developing countries, are often plagued by high fees, delays, and security risks. Traditional financial systems charge excessive fees and rely on outdated infrastructures that slow down the process, leaving millions of individuals without timely access to funds. This disproportionately impacts low-income individuals and their families who rely on remittances for daily needs.
Approach:
Our approach leverages blockchain technology, particularly the privacy-focused features of the Midnight blockchain, to create a decentralized peer-to-peer (P2P) platform for fast, secure, and low-cost transnational money transfers. The solution will integrate Cardano's self-sovereign identity (SSI) to ensure secure verification without compromising user privacy.
We are focusing on a platform that directly connects users, eliminating the need for intermediaries such as banks or traditional financial institutions. By using smart contracts and decentralized storage, we will ensure that transactions are automated, secure, and irreversible, reducing the likelihood of fraud or human error. Our unique integration with self-sovereign identity will protect users' data, giving them control over their personal information, which is vital in markets where identity theft and fraud are common.
Engagement:
Our project will engage:
Individuals in developing countries who rely on remittances for financial support. These users will benefit from lower fees and faster access to funds.
Small businesses that engage in international trade and require affordable cross-border payment solutions.
Government entities interested in adopting blockchain technology for secure, transparent transactions, especially those looking to streamline financial processes and remittances.
Impact Demonstration:
We will demonstrate our impact by:
Tracking the number of users onboarded and the volume of funds transferred via the platfor
Gathering feedback from users regarding the speed, cost, and security of their transactions compared to traditional method
Partnering with remittance-dependent communities and documenting improvements in their financial inclusion and access to service
Unique Aspects:
Privacy-Focused: Unlike traditional remittance services, our platform will prioritize user privacy by integrating Midnight’s privacy-preserving features and self-sovereign identity for secure access and identity verification.
Cost Efficiency: The elimination of intermediaries, combined with Cardano’s low transaction costs, will significantly reduce the cost of international transfers.
Scalability & Security: Built on Cardano’s scalable infrastructure and using robust smart contract mechanisms, the platform will ensure secure, fast, and reliable transfers.
Global Reach: This solution offers a decentralized model that can scale globally, providing services to regions where financial infrastructure is lacking or overly expensive.
Beneficiaries:
The project will benefit:
Underserved communities and low-income individuals who face barriers to affordable, secure, and fast international payments.
Small and medium-sized enterprises (SMEs) that rely on international transfers for business transactions.
Cardano Ecosystem: By driving adoption of Cardano’s blockchain for real-world financial solutions, the project will increase network usage, transaction volumes, and visibility for decentralized finance (DeFi) applications.
Importance to Cardano:
This project will showcase Cardano as a practical solution for addressing global financial issues, particularly in underserved markets. By providing a secure, scalable, and affordable financial tool, we will highlight Cardano's strength in enabling decentralized applications that provide real-world value. This will help drive adoption, increase transaction volumes on the network, and position Cardano as a leader in decentralized finance solutions.
Cardano Settlement Layer
Handles the actual transfer of ADA or Cardano-issued stablecoins.
Provides low-cost, fast, and secure settlement.
Smart contracts in Aiken automate escrow, compliance checks, and payouts.
Midnight for Privacy & Compliance
Midnight is used only for privacy-preserving proofs (not as a transfer layer).
Zero-knowledge proofs (ZKPs) provide selective disclosure (e.g., verifying sender identity, transaction limits, or compliance) without revealing private details.
Midnight smart contracts validate that compliance conditions are met before allowing execution on Cardano.
Self-Sovereign Identity (SSI) Integration
Atala PRISM or Veridian provide digital IDs.
Users control their identity data and share only the attributes required for compliance (e.g., proof of residency, KYC).
This ensures both privacy and regulatory trust.
Smart Contracts
Built on Cardano (Aiken).
Features:
Escrow-based transfers until compliance is confirmed.
Conditional payments (e.g., scheduled or multi-recipient).
Refund logic if delivery fails.
Decentralized Storage
IPFS stores metadata such as receipts, proof-of-compliance documents, and transaction confirmations.
Anchored hashes ensure immutability and verifiability.
Cash-out and Local Integration
APIs link to local money agents, banks, or stablecoin issuers.
End-users can cash out directly into fiat or mobile money.
Conversion rates and fees are displayed transparently in the dApp.
Frontend (User App)
Web (React) and Mobile (Flutter) apps for accessibility.
Features:
Dashboard (balances, FX rates, fees).
Send/receive interface with privacy proof status.
Transaction history and receipts.
Compliance view (selective disclosure record).
Security & Governance
Multi-sig support for business and community operators.
Role-based access for compliance officers, regulators, or auditors (if selectively disclosed).
Open-source codebase for transparency and auditability.
Please define the positive impact your project will have on the wider Cardano community
Our dApp will reduce remittance costs and delays, giving underserved communities faster and more affordable access to funds. By using Cardano for settlement and Midnight for privacy, we ensure secure, compliant, and user-controlled transactions. The platform empowers low-income families who depend on remittances, supports SMEs with cross-border trade, and promotes financial inclusion. For Cardano, it drives real-world adoption, increases transaction volume, and showcases blockchain as a tool for global financial equity.
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, led by William Shelton, combines blockchain innovation with financial expertise to address the challenges of cross-border money transfers. We are not only technologists but also professionals experienced in financial ecosystems, regulation, and remittance operations—uniquely positioned to deliver a transformative solution.
Unique Strengths
Cross-Disciplinary Expertise: The team blends experience in financial regulation, blockchain engineering, and remittance systems, ensuring a secure, compliant, and scalable solution.
Proven Track Record: William Shelton has led blockchain projects that merge innovation with practical finance. Advisors from law, finance, and technology cover all aspects of delivery.
Real-World Focus: We bridge traditional finance and decentralized systems, designing solutions built for complex real-world environments.
Validation of Feasibility
Targeted Pilots: Real-world testing with selected remittance networks in developing markets ensures affordability, speed, and security.
Iterative Development: A phased rollout with feedback loops refines the platform based on actual user needs.
Strategic Partnerships: Early collaboration with remittance providers and financial institutions ensures seamless integration and expands Cardano’s reach.
Fund Management
Milestone-Based Allocation: Funds are tied to measurable deliverables, including dApp architecture, smart contract testing, and institutional scaling.
Transparent Oversight: Quarterly public reports and independent audits of contracts and financial flows guarantee accountability.
This blend of blockchain expertise, financial insight, and transparent execution ensures a solution that is innovative, practical, and sustainable, creating long-term value for users and the Cardano ecosystem.
Milestone Title
Milestone 1: Initial Architecture and Concept Development
Milestone Outputs
Outputs:
Completed platform architecture design, including blockchain integration, wallet system, and KYC features.
Initial partnerships with remittance networks and financial institutions established.
User flow diagrams and wireframes for the platform’s interface.
Defined security protocols and smart contract structure.
Acceptance Criteria
Acceptance Criteria:
The architecture design must be finalized, validated by external experts, and approved by stakeholders. Signed MoUs or agreements with at least two remittance or financial partners must be documented. Security and compliance protocols should be peer-reviewed to ensure alignment with global remittance standards.
Evidence of Completion
Evidence of Completion:
Published architecture and security design documents.
Screenshots of finalized wireframes and user flows.
Signed partnership agreements or letters of intent.
Third-party expert validation reports.
Delivery Month
3
Cost
30000
Progress
30 %
Milestone Title
Milestone 2: Smart Contract Development and Testing
Milestone Outputs
Outputs:
Smart contracts developed for secure and transparent transaction processing.
Deployed smart contracts on the Cardano testnet for validation.
Initial testing completed with mock transactions.
Security audit initiated.
Acceptance Criteria
Acceptance Criteria:
Smart contracts must be deployed on Cardano testnet, passing functional tests for transfers, escrow, and refunds. At least 100 mock transactions should execute successfully. An independent audit must be initiated with a preliminary report confirming no critical vulnerabilities, ensuring readiness for integration.
Evidence of Completion
Evidence of Completion:
GitHub repository with deployed contracts.
Testnet transaction logs and reports.
Audit initiation contract and initial auditor findings.
Demo video of contract functionality.
Delivery Month
6
Cost
30000
Progress
60 %
Milestone Title
Milestone 3: Integration and Beta Testing
Milestone Outputs
Outputs:
Platform integrated with remittance and banking partners.
Beta testing with users across key corridors.
Feedback reports collected from users and partners.
Features refined based on beta testing results.
Acceptance Criteria
Acceptance Criteria:
Integration must include at least one live financial or remittance partner API. Beta testing should involve a minimum of 50 active users across different regions. User and partner feedback must confirm reduced transaction costs, faster settlement, and secure onboarding. Platform refinements must be documented with changelogs.
Evidence of Completion
Evidence of Completion:
Integration logs and API documentation.
Beta test reports with user feedback summaries.
Screenshots of updated platform features post-feedback.
Partner validation letters.
Delivery Month
9
Cost
30000
Progress
90 %
Milestone Title
Final Milestone: Full Platform Launch and Project Close-Out
Milestone Outputs
Outputs:
Full platform launch with web and mobile apps.
User and remittance partner onboarding.
Final security audit completed.
Project close-out report and video delivered.
Open-source release of contracts and documentation.
Acceptance Criteria
Acceptance Criteria:
Platform must be deployed publicly with web and mobile versions available for download or access. At least two financial/remittance partners onboarded with live transactions processed. Final independent audit must confirm platform security and stability. Close-out report, audit results, and open-source code must be published for community review.
Evidence of Completion
Evidence of Completion:
Public links to deployed apps and web platform.
Screenshots and transaction data from live use.
Published final audit report.
Project close-out video and community report.
GitHub repository with open-source contracts and documentation.
Delivery Month
12
Cost
10000
Progress
100 %
Please provide a cost breakdown of the proposed work and resources
Total Cost: 40,000 ADA
Development of platform architecture, wallet system, blockchain integration, and KYC features. Includes secure protocols and early partnerships.
Breakdown:
Architecture design: 12,000 ADA
Backend development: 12,000 ADA
Frontend user interface: 8,000 ADA
Security protocols and testing: 8,000 ADA
Total Cost: 25,000 ADA
Creation and auditing of smart contracts for secure and transparent remittance transactions.
Breakdown:
Smart contract development: 17,000 ADA
Security audit: 8,000 ADA
Total Cost: 15,000 ADA
Engaging regulators, establishing compliance frameworks, and developing key remittance/financial partnerships.
Breakdown:
Licensing and compliance: 9,000 ADA
Partnership development: 6,000 ADA
Total Cost: 12,000 ADA
PR campaigns, online outreach, and targeted community workshops for early adoption and trust-building.
Breakdown:
Marketing and PR: 7,000 ADA
Community engagement/workshops: 5,000 ADA
Total Cost: 8,000 ADA
Managing timelines, coordinating development, and ensuring transparent reporting.
Breakdown:
Project management: 5,000 ADA
Reporting/operations: 3,000 ADA
How does the cost of the project represent value for the Cardano ecosystem?
This proposal delivers strong value by allocating the majority of funds (65%) directly to development and security, ensuring the platform achieves a working prototype, secure smart contracts, and real-world pilot capability. By trimming non-essential costs in marketing, compliance, and operations, we maximize the impact of every ADA requested.
The platform has the potential to scale into a global remittance solution, capturing billions in transaction volume and providing low-cost financial access to underserved communities. Its open-source code, audited contracts, and transparent fund reporting further extend the project’s long-term value by enabling community collaboration, reuse, and independent verification.
With a lean 100k ADA budget, we will deliver a tested, compliant, and user-ready platform that not only advances financial inclusion but also demonstrates Cardano’s ability to solve pressing real-world challenges.
Terms and Conditions:
Yes
William Shelton: Project Lead. Responsible for overseeing the project’s execution and managing team operations.
LinkedIn: https://www.linkedin.com/in/willpshelton/
Advisors
Jeffery Sisco, MBA: Business Advisor. Providing guidance on strategic development.
LinkedIn: https://www.linkedin.com/in/jeffreysisco/
Danilo Parmegiani: Nonprofit Engagement. Assisting with nonprofit and institutional outreach.
LinkedIn: https://www.linkedin.com/in/danilo-parmegiani-aa075a40/
Seth Kaper-Dale: Social Impact Advisor. Advising on social impact initiatives and inclusion.
Gary Minkoff: Public Policy Advisor. Providing insights into government partnerships.
LinkedIn: https://www.linkedin.com/in/garyminkoff/
Edward Laporte
Legal Advisor. Assisting with compliance and legal frameworks.