[SOLUTION] Please describe your proposed solution.
Investing and asset management are difficult tasks for most people due to the complexity and hands-on activities they entail. Moreover, investing in web-3 native assets can become a daunting task. Users need to fully understand the assets in which they are investing; they are also exposed high volatility, native to the ecosystem.
Metera Protocol is a marketplace for tokenized investment strategies called MTKs, that will help users navigate the fast-growing Cardano Ecosystem by providing instant diversification using a wide range of tailored indexes mitigating the user’s exposure.
What are MTKs ?
MTKs are baskets of assets created by vetted portfolio managers that provide exposure to an specific sector, or curated list of Cardano Native Assets (. i.e.: DeFi, RealFi, Exchanges, Metaverse, etc.)
Diversification is Key
One of the most important rules for safe and effective investment is diversifying your holdings. Never put all eggs on one basket.
Most successful traditional investment strategies rely on diversification to minimize the exposure to single assets. Blockchain is a fast-growing space with a lot of opportunities, but there is no denying the risks involved by investing in this fast-paced ecosystem. So, diversification is the key.
Overview
Our platform offers a wide range of tokenized strategies/indexes – MTKs. By doing this we create benchmarks across all sectors of the ecosystem, providing data on reliable returns that properly replicate the current market conditions.
Metera’s solution includes various rating systems for indexes to effectively provide users with relevant information that will allow them to make conscious and informed decisions on whether to invest on the products offered, or look for a better opportunity.
Our solution
Metera portfolios provide instruments for users to diversify their investment by minting $MTK in return for depositing a specified set of tokens in a smart contract.
A portfolio manager can create a new portfolio with a set of tokens of their choice, specifying the value weight each token must have in the portfolio. In the initial version, the site admin will act as portfolio manager; nevertheless, the smart contract will be designed in a way that it is possible to allow any authorized user to create a portfolio.
Two oracles are created for this portfolio: one which will tell at all times the target weights the portfolio must have, and another that will tell the current tokenX / ADA ratio for each token in the portfolio. These oracles will be present in every transaction that involves the portfolio.
Once created, any user can place an order to deposit in the portfolio. A fee will be charged to each user that makes a deposit. This fee will be a percentage set and fixed in the portfolio, and will be charged in ADA. The fees will be stored in the portfolio for later collection by the portfolio manager.
Once created, any authorized user can place an order to deposit in the portfolio. A fee will be charged to each user that makes a deposit. This fee is a set percentage, fixed in the portfolio, and will be charged in ADA. The fees will be stored in the portfolio for later collection by the portfolio manager.
These MTK can then be redeemed by placing a withdraw order, which results in users burning MTK and getting paid back tokens from the portfolio, again, approximating the target weights specified in the oracle.
[IMPACT] Please define the positive impact your project will have on the wider Cardano community.
Indexes and ETFs are the fastest growing financial instruments in the world. Bridging the gap between ETFs and Cardano, we’ll bring new investment and new strategies into our ecosystem.
Projects included on those indexes will get exposure to a wide range of investors helping them grow and deepen their liquidity.
[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?
Metera has worked alongside great teams such as Mlabs and TxPipeShop to deliver solutions for the Cardano Ecosystem. Most recently we’ve finished developing our product private test-net in order to align business logic. Mlabs and TxPipe Shop have delivered some of the biggest Dapps in the ecosystem and have been part of Catalyst since its inception.
Both teams play an important role in the development ecosystem.
The Metera team posts regular weekly updates informing its community about challenges and
Through trial and error we’ve identified limitations on our previous architecture and have opted to adopt a more straightforward approach towards our smart contracts in order to deliver a high quality and intuitive product to the whole Cardano Ecosystem.
The approach feasibility under this proposal has been validated by various on-chain transactions posted during the long 1.5 years development process we’ve had.
The Metera team has made significant progress towards the development of this scope and is expected to finish earlier than expected
[Project Milestones] What are the key milestones you need to achieve in order to complete your project successfully?
Milestone 1: Requirements and Design (3 weeks)
Tasks:
Deliverables:
- Requirements analysis (Proprietary)
- Analysis of feasibility for implementing dynamic state on chain
- Description of system design and transactions diagram.
Milestone 2: Smart Contract backend with trivial validator (5 weeks)
Deliverables:
- Implementation of a service in NodeJS + Lucid with endpoints for every operation: from portfolio creation to order processing.
- Demo showing well behavior of implementer server with transaction on prepod testnet.
Milestone 3: Webapp Integration (4 weeks)
Deliverables:
- Implementation of web app functionality regarding orders and batcher.
- Integration of implemented smart contract service with existing web app.
Milestone 4: Onchain validations (4 weeks)
Deliverables:
- Aiken validator for portfolios.
- Aiken validator for oracles.
- Aiken MTK minting policy
- Unit Testing.
Milestone 5: Testing and Feedback (2 weeks)
Deliverables:
- Testing and bug fixing.
- Working MVP
Milestone 6: Final report and video
Deliverables:
-
Public working test-net with Aiken validation
-
Findings report.
-
Comprehensive video detailing the products functionality.
[RESOURCES] Who is in the project team and what are their roles?
Daniel Sampson: https://www.linkedin.com/in/daniel-sampson-26966a225/
CEO and CoFounder of Metera
Entrepreneur and innovator in the web3 ecosystem with a strong background in traditional asset management.
Experience in marketing, project management and investor relations. Full Stack developer in progress.
Carlos Ernesto: https://www.linkedin.com/in/ernesto-sampson/
COO and Founding Team Member of Metera Protocol. Business manager and strategist. With experience in the creation, development and administration of projects. Experience in planning, management, and daily operation of Fintech and Crypto projects.
Deep interest in new technologies and passionate about making things happen.
Santiago Portela: https://www.linkedin.com/in/santiago-portela-4a789099/
CSO and CoFounder of Metera, Santiago is a strategic leader at Metera, guiding the protocol’s overall objectives, vision and strategy, developing impact assessment systems, and developing Metera’s tokenomics engineering for sustainable decentralized asset management.
Paulo Rivera:
CFO and Founding Team Member Financial professional with more than 10 years in Tradicional Finance as trader, and blockchain entrepreneur.
In the case of project funding, the TxPipe Shop team has committed to providing consultancy services through TxPipe Shop and infrastructure and backend services through Demeter.run.
[BUDGET & COSTS] Please provide a cost breakdown of the proposed work and resources.
Milestone 1: Requirements and Design (3 weeks)
Resources:
- TxPipe Shop development team
TOTAL - 16,500 ADA
Milestone 2: Smart Contract backend with trivial validator (5 weeks)
Resources:
- TxPipe Shop development team
TOTAL - 27,500 ADA
Milestone 3: Webapp Integration (4 weeks)
Resources:
- TxPipe Shop development team
TOTAL - 22,000 ADA
Milestone 4: Onchain validations (4 weeks)
Resources:
- TxPipe Shop development team
TOTAL - 22,000 ADA
Milestone 5: Testing and Feedback (2 weeks)
Resources:
- TxPipe Shop development team
TOTAL - 11,000 ADA
Milestone 6: Final report and video (2 weeks)
Resources:
- TxPipe Shop development team
- Metera Management Team
TOTAL - 0 ADA
[VALUE FOR MONEY] How does the cost of the project represent value for money for the Cardano ecosystem?
Funding this project will help accelerate the inclusion of robust financial instruments needed for the broader adoption of the Cardano ecosystem in the rapidly growing DeFi ecosystem.
Funding new DAPPs looking to innovate in the space will help broaden the Cardano ecosystem and help onboard new investors and users into the ecosystem.