Please describe your proposed solution

<u>Motivation:</u>

As artificial intelligence becomes increasingly important to both personal and enterprise applications, there is a need for accessible, decentralized AI platforms. Currently, there is no solution that allows users to explore, test, and interact with AI models directly within their browser, integrated with the security and transparency of blockchain technology. Our proposal addresses this by developing a Cardano-powered AI exploration platform that uses ADA for microtransactions, filling a critical gap in both AI and blockchain use cases: The Cardano AI Hub.

<u>Our solution:</u>

We are building a browser-based AI Hub that contains the following features to allow users to easily explore AI models:

1. Model Exploration: A searchable library of AI models across domains (e.g., image generation, natural language processing, predictive analytics) will be available, allowing users to choose the best model for their needs.
2. Interactive Testing: Users can directly test and interact with AI models within the browser, providing input data and receiving immediate outputs. For example, users could generate images using an AI model and convert them into NFTs, with the NFTs stored immutably on the Cardano blockchain.
3. ADA Microtransaction System: The platform will use ADA for microtransactions. Each AI model will have a cost-per-use (e.g., per image generated or per API call), allowing users to pay only for what they consume.
4. Blockchain Integration for Data Security: Outputs generated from AI models (e.g., images, data analysis) can be stored on the Cardano blockchain, ensuring data immutability and transparency. This feature will be particularly beneficial for users creating digital assets like NFTs, ensuring their authenticity and ownership.
5. Continuous Development: The platform will be designed with scalability in mind. Over time, we will add new AI models and integrate demo applications from developers. This ensures the platform stays relevant and continuously grows in value for the Cardano ecosystem.

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

The Cardano AI Hub will have a strong positive impact on the wider Cardano community by filling a significant gap in the market: the lack of accessible, blockchain-integrated AI tools. By enabling users to explore and utilize AI models through a simple browser interface with ADA-based microtransactions, we are lowering the barriers to AI adoption and making advanced technologies accessible to both individuals and businesses.

The project will benefit Cardano in many ways:

1. ADA-based microtransactions: By enabling microtransactions for AI usage, we will drive ADA transactions, increasing network activity and utility.
2. Foster Innovation: Developers will have a platform to easily test and explore new AI models, encouraging the creation of new, blockchain-based AI tools.
3. Enhance Cardano’s Reputation: This initiative positions Cardano as a pioneer in the intersection of blockchain and AI, attracting new users, developers, and businesses to the ecosystem.
4. Empower Community Growth: By providing accessible AI tools, we open up opportunities for the community to apply these technologies in areas like NFTs, data analysis, and automation, ultimately increasing the use and adoption of Cardano-based solutions.

By connecting AI and blockchain technologies, we will attract a broader audience to Cardano, increase network activity, and drive the adoption of both AI and blockchain solutions within the ecosystem.

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 consists of four AI experts and blockchain enthusiasts with proven track records in academia and crypto development and up to 8 years of experience in relevant fields. Our work-philosophy is best described by:

Open: Achievements and work artifacts are communicated and published on a regular basis.

Transparent: Using clear documentation and academic rigor, we build trust and accountability. Whenever appropriate, we are happy to discuss our work with the academic community at top-tier blockchain and AI conferences around the globe.

Collaborative: Through collaboration with established industry-peers from our earlier blockchain ventures, and from our community we gain regular feedback to continuously improve and adjust where required.

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

Milestone 1: <u>Technical Research &amp; Specification Development</u>

Outputs: Conduct detailed technical research to define the key functionalities and requirements for the Cardano AI Hub, including integration with ADA microtransactions and blockchain-based model output storage.

Acceptance Criteria: A comprehensive development specification sheet outlining the necessary features and architecture for a decentralized AI Exploration Interface, as well as action steps for the next phase.

Evidence: Research report in PDF format uploaded to GitHub + announcement on X UnboundedMarket channel.

Milestone 2: <u>Conceptual UI/UX Design &amp; Wireframing</u>

Outputs: Design the conceptual user interface and experience for the platform, focusing on key elements like AI model selection, ADA-based microtransactions, and blockchain interactions.

Acceptance Criteria: Finalized wireframes and mockups depicting the basic user journey, AI model exploration, and payment flows using ADA. The design should clearly illustrate user interaction with core features.

Evidence: UI/UX wireframes and mockups shared via the X UnboundedMarket channel for community feedback as well as a design review report.

Milestone 3: <u>Prototype Development</u>

Outputs: Develop an early-stage beta application integrating a small set of AI models. Users can explore and try out different AI models, make ADA-based microtransactions, and store outputs securely on the Cardano blockchain.

Acceptance Criteria: A functional demo website that implements the UI/UX design and integrates basic AI models, with the above mentioned features implemented.

Evidence: A publicly accessible demo version of the AI Hub, along with a detailed report on the prototype’s functionality and roadmap for future improvements. Announcement shared on X UnboundedMarket channel.

Final Milestone: <u>Scaling &amp; Long-Term Roadmap</u>

Outputs: Scale the beta application by integrating additional AI models across various domains and introducing new on-chain use cases. Develop a comprehensive roadmap for future growth, including user onboarding strategies and long-term sustainability of the Cardano AI Hub.

Acceptance Criteria: Significant expansion of AI model variety (at least 5-10 models), functional ADA-based transactions, and documented user onboarding strategies. The roadmap should outline steps to transition from the concept stage to a full-fledged product.

Evidence: A project close-out report detailing the advancements made, the expanded AI model library, and long-term goals, published on GitHub + announcement on X UnboundedMarket channel.

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

Timo is a visionary entrepreneur with a deep expertise in robotics, artificial intelligence, and cloud engineering. He holds a Master’s degree in Robotics with a focus on AI applications and co-founded an AI-driven agricultural startup. Timo has published his work at a major conference, demonstrating his ability to merge academic research with real-world solutions. Timo is driven by his passion to unlock the pioneering potential in bringing AI solutions to the blockchain.

Samy is a professional with five years of blockchain development experience and nearly eight years in AI and machine learning. As a developer and researcher, Samy has worked on several DeFi protocols and published peer-reviewed articles in top-tier AI journals and conferences.

Chris is a seasoned software developer and entrepreneur, boasting over four years of specialized experience in blockchain and AI technologies. His in-depth research in AI and blockchain testifies his comprehensive knowledge of the DeFi ecosystem, establishing him as a knowledgeable figure within the community.

Phil is a former AI &amp; Data scientist with a proven academic track record and several years of industrial experience. His professional career revolved around the robotics industry, where he successfully demonstrated the use of AI to tackle challenging problems. As a crypto-enthusiast, he now seeks to contribute to the next wave of blockchain innovation.

Future Recruitment: We plan to potentially recruit additional Cardano-experienced blockchain developers and UI/UX designers as needed to further scale our development efforts.

Please provide a cost breakdown of the proposed work and resources

Funding Strategy: Assumption 1 ADA ≈ $0.35 USD. Deficit Coverage: Any budget shortfalls will be covered by the UnboundedMarket team.

<u>Cardano AI Hub Project Budget breakdown:</u>

• Project Management &amp; Development Operations: 7,000 ADA

This covers the overall project coordination, timeline management, and cross-team collaboration, ensuring that the development, design, and integration phases stay on track.

• Website UI / UX Design:
• UX operations for features &amp; usage flow: 4,000 ADA
• UI Designer for the Web Interface: 8,000 ADA

This covers designing the visual elements of the web interface, including navigation, and layout for an intuitive and seamless user experience to enhance user engagement.

• Website Development (including Reward System, Mockup, MVP and Cardano Integration)

Includes the implementation of core platform features, mockup development, and full integration with Cardano.

• Frontend Developer Salaries: 25,000 ADA

To ensure a user-friendly interface, the frontend development will focus on building a responsive, interactive platform that allows users to explore AI models and interact with blockchain features easily.

• Backend Developer Salaries: 45,000 ADA

This covers the development of the backend infrastructure needed to handle AI model integrations, data processing, ADA microtransactions, and secure storage of outputs on the Cardano blockchain.

• Blockchain Developer Salaries: 20,000 ADA

Focused on smart contract development and seamless integration with the Cardano blockchain, ensuring security and transparency for every transaction and model output.

• Compute Infrastructure costs: 15,000 ADA

This will cover the cloud computing and server resources necessary to host and process AI model interactions and ensure smooth platform operation during the initial phases of development and user testing.

• Technical and User Documentation: 4,000 ADA

This covers the creation of comprehensive documentation for developers, end-users, and technical staff to ensure ease of use, system understanding, and future scalability.

• Market Material and Public Relations: 4,000 ADA

This will be used for early-stage marketing campaigns to raise awareness and drive community engagement and thereby attract more users and developers to Cardano.

Overall budget required: 132.000 ADA

This budget is carefully structured to cover the principal costs of developing a fully functional proof of concept. Each component is vital to the project’s success, from design and development to infrastructure and marketing. The allocation ensures that resources are efficiently used to build a scalable, decentralized AI exploration platform on the Cardano blockchain.

No dependencies.

How does the cost of the project represent value for money for the Cardano ecosystem?

<u>Value for Money</u>

The Cardano AI Hub is a transformative platform that will position Cardano as a leader in the rapidly expanding field of blockchain-integrated AI. By providing direct browser access to a diverse collection of AI models, this project offers unparalleled accessibility for both developers and users. Developers will gain a valuable tool for integrating AI into decentralized applications, while users will benefit from an intuitive, blockchain-secured platform that allows them to explore, test, and apply AI technologies seamlessly.

The Cardano AI Hub directly addresses two key goals for Cardano:

1. Attracting New Users and Developers: The Cardano AI Hub will serve as a magnet for developers and tech innovators who want to build and monetize AI solutions on the blockchain. With a constantly growing library of AI models, the platform offers a fertile ground for experimentation and innovation. It will draw new talent and projects to the ecosystem, positioning Cardano as the go-to blockchain for AI-based applications and decentralized intelligence solutions.
2. Expanding the Use of ADA and Blockchain Technology: By utilizing ADA for microtransactions, the platform will stimulate greater ADA transaction volumes, fostering more activity across the network. The integration of on-demand, private, pay-as-you-use microtransactions provides a highly secure and efficient payment system that directly leverages the strengths of the Cardano blockchain - especially its focus on security, scalability, and decentralization.

Additionally, the platform’s dynamically extensible design ensures that new AI models and decentralized applications (dApps) can be seamlessly integrated over time. This will not only keep the platform cutting-edge but also provide long-term value to the Cardano ecosystem by continually evolving to meet the demands of both developers and users.

<u>Cost Justification</u>

The proposed budget of 132.000 ADA is a highly strategic investment for the Cardano community. Here's how each allocation offers exceptional value for the ecosystem:

• 109,000 ADA for Development (Frontend, Backend, Blockchain Integration): These funds will be used to attract highly skilled developers who possess the specialized knowledge necessary to build a secure, scalable platform that integrates AI with blockchain. Competitive salaries ensure the recruitment of top-tier talent, which is crucial for the project’s success and Cardano’s leadership in blockchain-based AI.
• 15,000 ADA for Compute Infrastructure: This budget ensures the platform has the necessary resources to handle AI processing demands and blockchain transactions, both now and as it scales over time. It covers long-term, robust infrastructure to ensure fast, reliable performance as the platform grows and user activity increases.
• 8,000 ADA for Documentation, Market Materials, and Public Relations: These funds will support education and onboarding, making sure that users and developers can easily engage with the platform. A comprehensive marketing strategy will drive awareness, bringing more users, projects, and AI enthusiasts into the Cardano ecosystem.

<u>Long-Term Strategic Importance</u>

This project is not just a short-term solution but a long-term strategic asset for Cardano. By creating an AI hub for model exploration, it enables users and developers to easily interact with a wide range of AI models directly within their browser. A key feature of the platform is the ability to store AI-generated outputs on the blockchain, such as converting image outputs into NFTs. This seamless integration of AI with Cardano’s blockchain offers a unique combination of cutting-edge technologies.

The platform’s focus on AI model exploration and blockchain-based storage will position Cardano as the leading blockchain for AI development. This innovative functionality will attract developers, enterprises, and AI enthusiasts to the ecosystem, significantly boosting Cardano’s reputation and utility in the blockchain space. By offering direct interaction with AI models and secure, immutable storage of outputs, Cardano can become the go-to blockchain for AI-driven applications.

In this context, the investment of 132.000 ADA into the Cardano AI Hub represents exceptional value for money, ensuring that Cardano stays at the forefront of AI and blockchain innovation, driving both technological advancement and community growth.