Last updated 6 months ago
Most crypto users trade only on CEXs and never try Cardano DeFi. There is no fun, risk-free way for them to practice swaps and liquidity on familiar tokens before using real funds.
Build a web game on Cardano testnet where players “fund from CEX”, trade in Minswap/Snek pools, react to events, and learn swaps and liquidity safely with testnet tokens.
Please provide your proposal title
Palestra: Minswap x Snek DeFi onboarding game
Enter the amount of funding you are requesting in ADA
200000
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?
Most crypto users trade only on CEXs and never try Cardano DeFi. There is no fun, risk-free way for them to practice swaps and liquidity on familiar tokens before using real 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
Please provide details on the intellectual property (IP) status of your project outputs, including whether they will be released as open source or retained under another licence.
MIT
Please choose the most relevant theme and tag related to the outcomes of your proposal
GameFi
Describe what makes your idea innovative compared to what has been previously launched in the market (whether by you or others).
Prior Research & Ecosystem Scan
https://docs.google.com/document/d/1tJjTqEhzqSyMoBbO5BPxq8yS2tZuSSHOzZGN1domDQI/edit?tab=t.0
This is not another generic crypto trading game or paper-trading simulator. Most existing “practice” tools either simulate prices off-chain, mimic a CEX order book, or provide static tutorials. My approach is to build a live DeFi game directly on Cardano testnet, where every swap and liquidity action is a real on-chain transaction against actual AMM pools. Players are not just clicking through a fake UI – they are interacting with Cardano DeFi as it really works, but with testnet funds so there is no risk to their real capital.
The core innovation is the way CEX-style onboarding is combined with Cardano-native mechanics. New users start with a familiar flow – “transfer from CEX” – which in reality is a themed faucet that funds an in-game wallet with testnet ADA and tokens. From there they can trade in public testnet pools of recognisable projects like Minswap and SNEK, practice providing and removing liquidity, and watch their portfolio climb (or fall) on a leaderboard. These project names are used only as familiar reference points through their open testnet pools; there is no partnership implied.
On top of this, the game adds an event-driven layer that is uncommon even in other ecosystems: global “news” and frequent random events that actually submit transactions on testnet to move prices and liquidity. Players have to react to these events, not just abstract charts. Structured missions (first swap, first LP, seeing impermanent loss, surviving volatility) turn the game into a guided DeFi learning path rather than just a sandbox.
Cardano does not yet have a game that combines: real testnet DEX interactions, CEX-flavoured onboarding, recognisable DeFi tokens, event-driven price moves, and an educational mission/leaderboard system designed specifically to onboard CEX traders and newcomers into Cardano DeFi. That combination – a serious trading simulator that is also a Cardano-specific teaching tool, fully on-chain on testnet – is what makes this proposal novel for the ecosystem.
Describe what your prototype or MVP will demonstrate, and where it can be accessed.
The prototype will be a live web game deployed on Cardano testnet. It will connect to real testnet AMM pools (for example, public Minswap and SNEK testnet pools) and use an in-game wallet funded via a themed “transfer from CEX” faucet. Every in-game action – swaps, adding/removing liquidity, reacting to events – will submit real transactions to Cardano testnet, but only with testnet ADA and tokens, so players can experiment safely with no financial risk. Recognisable projects like Minswap and SNEK are used purely via their open testnet pools as familiar reference points; no formal partnership is implied.
The MVP will demonstrate the full core loop: creating an in-game wallet, “funding from CEX”, performing swaps, providing liquidity, reacting to global news events that move testnet prices, and tracking portfolio value on a leaderboard. It will also include a small set of guided missions (e.g. first swap, first LP, seeing impermanent loss) to prove the educational flow.
To demonstrate exactly how this flow works for a new user, we have designed the core experience to be familiar yet educational. Below is the 5-step user journey our MVP will deliver:
This project uses public Minswap and Snek testnet pools as familiar reference points. It is not affiliated with or endorsed by the Minswap or Snek teams.





The prototype will be accessible as a public web app at a dedicated URL (testnet environment), with all game logic and contracts interacting only with Cardano testnet. The community will be able to help test it by:
Describe realistic measures of success, ideally with on-chain metrics.
Because this is a testnet-only game, success is best measured by how much real DeFi behaviour it generates on Cardano testnet, and by signals that players are more likely to try mainnet DeFi later.
I’ll focus on three compact sets of metrics:
Testnet DeFi activity
Learning & progression
Future mainnet intent (indirect impact)
Please describe your proposed solution and how it addresses the problem
This project uses public Minswap and Snek testnet pools as familiar reference points. It is not affiliated with or endorsed by the Minswap or Snek teams.
AMMs and liquidity pools are central to DeFi, but for many users they remain abstract and intimidating. Most retail traders interact only with centralized exchanges, where they never see pool shares, impermanent loss, or how swaps affect on-chain liquidity. Existing Cardano DeFi apps are built for users who already understand wallets and on-chain risk, and written tutorials or videos, while useful, do not recreate the feeling of making real trades in a moving market. The gap is a safe, engaging environment where CEX traders and newcomers can learn Cardano DeFi by doing, without risking real funds.
This project addresses that gap by building a web-based trading game running entirely on Cardano testnet, using real testnet AMM pools as the backend. The core loop is simple and familiar:
Every action that matters in the game – swaps, LP adds/removes, even price-moving events – is a real transaction on Cardano testnet, but always with testnet assets. This means players are learning how Cardano DeFi actually behaves (fees, slippage, pool price impact, position value changes) in a risk-free setting.
On top of this core loop, the game adds several layers to make it educational and engaging:
The project primarily engages three groups:
Impact will be demonstrated through a combination of on-chain testnet data and in-game analytics: the number of unique in-game wallets that perform swaps and LP actions, total DeFi-related transactions generated on testnet, how many players complete core learning missions, how many return on multiple days, and simple surveys asking whether players feel more confident using DeFi on mainnet after playing. Together, these show whether the game is successfully converting curiosity and CEX-only habits into practical Cardano DeFi experience.
What is unique about this solution is the way it combines real Cardano testnet DEX interactions, a CEX-flavoured onboarding flow, recognisable DeFi tokens, and an event-driven, mission-based learning design. It is not a trading bot, not a mainnet protocol, and not an off-chain price simulator; it is a Cardano-specific onboarding game where users can make real on-chain decisions with fake money, see the consequences, and build confidence. If successful, it can increase the pool of users ready to use Cardano DeFi on mainnet, improve general understanding of AMMs and liquidity, and provide a reusable framework for future educational or gamified DeFi experiences in the ecosystem.
Architecture in more detail can be viewed here:
https://docs.google.com/document/d/1ctXZJqZaYacr1ixuNphjnZWmi4rqOqOlmpClLFUtYh8

The game is a web application that runs entirely against Cardano testnet, using real Minswap testnet AMM pools as its backend. All meaningful player actions (funding, swaps, liquidity adds/removes, event-driven moves) are real testnet transactions, but only with test assets, so users never risk mainnet funds.
At a high level, the system has three layers:
Core Components
Frontend (Game Client)
The browser-based UI handles onboarding, “fund from CEX” flow, pool browsing, swaps, LP actions, missions, events, portfolio and leaderboard. It talks only to the backend API, never directly to a node. The client renders:
In-Game Wallet Layer
Each player is mapped to a dedicated testnet address managed by the backend. From the user’s perspective it behaves like a simple in-game wallet: they see balances, positions and history, but never handle seed phrases. Server-side key management and signing are kept minimal and scoped to testnet only. The wallet layer:
Backend & API
The backend is a stateless-ish web service plus a database. It connects to Cardano testnet infrastructure (node or indexer) and to Minswap testnet contracts. It is responsible for:
Cardano Testnet & Minswap Pools
Execution and state live on Cardano testnet:
Data & Transaction Flow (Simplified)
Extensibility
The architecture is deliberately modular:
Please define the positive impact your project will have on the wider Cardano community
AMMs and LPs are core to Cardano DeFi, but most potential users never touch them because the first step feels too risky and too technical. This project turns that first step into a safe, playful, but fully on-chain experience. The positive impact comes from converting “I only trade on CEX” users into people who’ve actually used Cardano DeFi mechanics – even if only on testnet – and from leaving behind reusable code and patterns for future onboarding tools.
How this brings value to the Cardano community
How impact will be measured
Together, these metrics show:
How outputs will be shared
All of this will also be summarised in the final Catalyst close-out report and video, with links to the live game, code, and any aggregated statistics, so the wider Cardano community can see exactly what was delivered and decide how to make use of it.
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?
I’m proposing Palestra as a one-person project, scoped to match my existing experience. Over the last few years I’ve worked full-time as a Cardano DeFi / DEX engineer: integrating with AMM DEXes, building trading frontends (swaps, LP, portfolio), writing off-chain indexers for pool state and trades, and even running an arbitrage bot across multiple Cardano DEXes. Before that, I spent more than a decade as a full-stack and backend engineer at Microsoft Development Center Serbia, shipping and operating web services for Azure / Microsoft 365 used by millions of users. That combination – Cardano DeFi internals plus long production web experience – maps directly to what Palestra needs: a reliable on-chain backend, a clear browser UI, and a stable testnet deployment.
Feasibility is de-risked by how the project is structured. The milestones follow a thin-slice, incremental approach: first a backend that ingests Minswap testnet pools and interactions and stores history; then a basic web UI and in-game wallet + faucet that submit real testnet swaps; then the game layer (missions, events, leaderboard) on top of infrastructure that already works. At each step, correctness is validated against public testnet explorers (pool reserves, swap results, wallet balances), and the game logic only ever touches testnet assets, so there is no financial risk to players.
Trust and accountability come from keeping the work open and verifiable. The codebase (backend, game logic, UI) will be public under a permissive license; each milestone has clear evidence (repo links, screenshots, testnet transaction hashes, metrics snapshots); and the final month is reserved for documentation, a walkthrough video and the Catalyst close-out report. The budget is essentially one year of full-time engineering plus modest infra (testnet node/indexer access, hosting, domain, monitoring) — no incentives, or re-granting. This makes it straightforward for the community to see where funds went and to independently verify that Palestra was delivered as proposed.
Milestone Title
Backend: DEX Integration & Data Layer
Milestone Outputs
Backend service that connects to Cardano testnet via the chosen infrastructure and ingests Minswap testnet pool definitions, pool state (reserves, fees) and swap/liquidity interactions.
Database schema and implementation for storing pools, tokens and pool interactions, including historical series per pool and per trading pair.
Backend API endpoints to query pools and tokens, recent interactions for a pool, and historical series for a pool or pair over a given time range.
Acceptance Criteria
The service continuously ingests interactions from Minswap testnet and maintains an up-to-date history of pool states over time.
For a sample of Minswap testnet pools and transactions, stored data (reserves, fees, swaps) matches what is visible on a public
Cardano testnet explorer at given block heights.
API endpoints return correct data for pool lists, recent interactions and historical series for at least five Minswap testnet pools and five trading pairs.
Evidence of Completion
Repository link with backend code and schema definition.
Logs or screenshots showing ingestion of Minswap testnet data and populated tables for pools and interactions.
Sample JSON/CSV exports from the API for a few pools/pairs, with a short note matching them to public Cardano testnet explorer data.
Delivery Month
3
Cost
60000
Progress
30 %
Milestone Title
Wallet, Initial UI & Backend Integration
Milestone Outputs
Minimal web UI providing a pool list and detail view, a swap form, and a portfolio page showing balances and recent actions.
In-game wallet abstraction for each player that assigns a testnet address, can hold testnet ADA and tokens, and can sign and send transactions via the backend.
Themed “transfer from CEX” faucet flow that funds the in-game wallet from a system faucet wallet on testnet under defined limits.
Frontend integration with backend APIs to display current Minswap testnet pool state and basic historical charts, and to submit swaps from the UI and show them in local history once on-chain.
Acceptance Criteria
New test users can receive an in-game wallet, use the faucet once, see updated balances and perform at least one swap from the UI.
Swap transactions appear on a Cardano testnet explorer with the expected token amounts and Minswap pools, matching what the UI shows.
Pool pages read data from the backend and show correct reserves and prices for at least five Minswap testnet pools.
Evidence of Completion
Screenshots or screencast of a new user going through faucet → swap → portfolio update.
Example transaction hashes from faucet and swap actions, visible on a Cardano testnet explorer.
Screenshots of pool detail and history views showing data returned from the backend.
Delivery Month
6
Cost
60000
Progress
60 %
Milestone Title
Game Design & Core Game Systems
Milestone Outputs
Game design and architecture document for the game layer covering the core loop, mission types and progression, event rules, and leaderboard metrics and update logic.
Mission system with at least four missions: fund from CEX, first swap, first LP add, and a volatility/impermanent-loss mission.
Global events and news feed that presents periodic events to all players and links them to on-chain Minswap testnet actions (swaps/liquidity changes) that move prices or liquidity in selected pools.
Leaderboard that ranks players by portfolio value (and optionally basic stats) and updates based on on-chain balances.
Acceptance Criteria
The game design and architecture document is available and reflects the implemented missions, events and leaderboard behaviour.
All four missions can be completed by a test player and are automatically marked complete based on on-chain actions rather than manual toggles.
The event feed shows multiple events over a test period, each with at least one associated Minswap testnet transaction hash and an observable effect on a pool.
The leaderboard lists at least twenty test players and updates on a documented schedule using on-chain balances.
Evidence of Completion
Link to the game design and architecture document.
Screenshots of the missions UI and a sample player’s mission progress.
Screenshots or logs of the event feed with example transaction hashes and a brief before/after snapshot for at least one Minswap testnet pool.
Screenshot of the leaderboard with a small comparison table to on-chain balances for a few players.
Delivery Month
8
Cost
30000
Progress
70 %
Milestone Title
Public Testnet Deployment, Telemetry & Feedback
Milestone Outputs
Public Cardano testnet deployment at a stable URL providing the full loop: onboarding, faucet, swaps, liquidity, missions, events and leaderboard.
Telemetry and logging for in-game wallets, swaps, liquidity actions, mission completions and returning players.
In-game feedback form and a short survey about prior DeFi experience and confidence to try mainnet.
Initial usage snapshot (beta report) after several weeks of public use.
Acceptance Criteria
A fresh user can visit the URL, receive an in-game wallet, fund from CEX, perform a swap and a liquidity action, and appear on the leaderboard.
Metrics export or dashboard shows counts of wallets, swaps, liquidity actions and mission completions.
At least twenty players have submitted survey or feedback responses.
A short beta summary document exists with headline usage numbers and a summary of survey answers.
Evidence of Completion
Public URL and a short screencast of a new user going through the main loop.
Screenshot or export of telemetry data with the required counters.
Link or anonymised export of survey/feedback responses.
Link to the beta usage summary document.
Delivery Month
10
Cost
20000
Progress
80 %
Milestone Title
Documentation, Open Assets & Close-Out
Milestone Outputs
Two–three page project summary detailing goals, metrics achieved, system overview, limitations and suggested next steps.
Updated public documentation in the repository, including README, how-it-works description, deployment notes and guidance for educators or community managers.
Public walkthrough video showing the end-to-end experience.
Final Catalyst close-out report with all relevant links.
Acceptance Criteria
The summary document lists key targets from the proposal, marks them as achieved, partially achieved or not achieved, and briefly explains any gaps.
Repository documentation is sufficient for a technical user to deploy the game on Cardano testnet and understand the main components.
The walkthrough video clearly shows onboarding, faucet, swap, liquidity action, at least one event and the leaderboard, and is publicly accessible.
The close-out submission via the Milestone Module includes links to the app (if still hosted), repository, documentation and video.
Evidence of Completion
Public link to the summary document.
Public repository link with final documentation in place.
Public link to the walkthrough video.
Screenshot or confirmation of the final Catalyst close-out submission.
Delivery Month
12
Cost
30000
Progress
100 %
Please provide a cost breakdown of the proposed work and resources
Core engineering & game logic (~70%)
Design, documentation & project management (~20%)
Community, outreach & misc (~10%)
Third-party products and services
The project uses a small set of external services, all covered within the 200k ADA budget:
How does the cost of the project represent value for the Cardano ecosystem?
The requested 200,000 ADA funds a 12-month, full-time effort by a single engineer covering every aspect of the project: backend integration with Minswap testnet, game logic, frontend, wallet/faucet plumbing, deployment, telemetry, documentation and Catalyst reporting. There is no extra management, marketing, or agency overhead hidden in the budget — it’s essentially one full-stack/blockchain engineer for a year plus modest infrastructure costs.
Spread over ~2,000 working hours, this equates to a modest hourly rate for a specialised role that combines Cardano integration, game design, and web development. Comparable freelance or agency rates for similar work are often significantly higher, especially once project management and profit margins are added. Here, those functions are absorbed into the same person and into the same budget.
From the ecosystem’s perspective, the project delivers durable assets rather than a one-off campaign:
The cost structure is also lean in terms of external spend: low cloud hosting, testnet infra/indexer access, a domain and basic monitoring/feedback tools. There is no budget for token incentives, airdrops, giveaways, re-granting or speculative treasury activity; all funds go into building and operating the prototype, plus the required reporting and close-out.
Taken together — one reasonably priced full-time builder, a clear milestone plan tied to concrete deliverables, and an output that can be reused as an on-chain DeFi onboarding and education tool — the proposal represents good value for money as a focused experiment in growing Cardano’s future mainnet user base via testnet gameplay.
I confirm that evidence of prior research, whitepaper, design, or proof-of-concept is provided.
Yes
I confirm that the proposal includes ecosystem research and uses the findings to either (a) justify its uniqueness over existing solutions or (b) demonstrate the value of its novel approach.
Yes
I confirm that the proposal demonstrates technical capability via verifiable in-house talent or a confirmed development partner (GitHub, LinkedIn, portfolio, etc.)
Yes
I confirm that the proposer and all team members are in good standing with prior Catalyst projects.
Yes
I confirm that the proposal clearly defines the problem and the value of the on-chain utility.
Yes
I confirm that the primary goal of the proposal is a working prototype deployed on at least a Cardano testnet.
Yes
I confirm that the proposal outlines a credible and clear technical plan and architecture.
Yes
I confirm that the budget and timeline (≤ 12 months) are realistic for the proposed work.
Yes
I confirm that the proposal includes a community engagement and feedback plan to amplify prototype adoption with the Cardano ecosystem.
Yes
I confirm that the budget is for future development only; excludes retroactive funding, incentives, giveaways, re-granting, or sub-treasuries.
Yes
I Agree
Yes
Full stack Engineer Nenad Mihajlovic