Detailed Plan
Request for Funding
We're seeking $70,000 that will be used to hire an IOHK Lead DevOps Engineer to lead in developing and implementing the necessary bridging to ADA of our staking network, treasury and yield protocols. This will in turn give us the proper foundation to facilitate our full integration of Cardano and any future Cardano based tokens, defi networks, or exchanges into the Connect Financial platform. This will allow us to provide a native ADA collateralized International Visa Credit Card, new more efficient yield farming vault strategies, and a broader range of tokens for swap or exchange.
Detailed Plan
Immediately source and hire an IOHK Lead Developer to lead in developing and implementing the necessary bridging to ADA of our staking network, treasury and yield protocols.
We're seeking 6 months in full-time salary wages for the candidate. Our goal would be to complete the bridging by the end of Q1 2022. Their employment will continue with the Connect Financial team as required after implementing the proposed tasks.
The goal is to become cross-chain interoperable with the Cardano ecosystem. We currently have 25,000,000 CNFI (ERC-20) tokens unlocked on the Ethereum Blockchain with a total supply of 108,500,000.
While the network effect of Ethereum cannot be understated, the cost of staking, transferring, swapping and redeeming staking rewards is far less than ideal. By migrating CNFI staking to Cardano and potentially unlocking new tokens on Cardano, the cost to perform the aforementioned functions will be greatly reduced.
Simultaneously this partnership will significantly expand the Cardano community's Defi functionality of ADA.
While many blockchain projects talk about the science behind their technology, none have done more to soundly construct a truly decentralized proof of stake blockchain than Cardano. Connect Financial knows that the Goguen smart contract platform release is imminent and intends to add great use and utility to it.
What follows are the basics of Connect Financial and how it works.
Members are offered IBAN (International Bank Account Number) and account funding is available via traditional SWIFT, SEPA, and Wire Transfers as well as by standard crypto methods. This is all managed and monitored through a detailed Client Portal.
Connect Financial provides its members with an International VISA Credit Card for daily use essentially world-wide.
Credit is allocated to each member based on the type and amount of collateral held in their Connect Financial Wallet.
Each user's credit limit is determined as a percentage of collateralized assets and NOT by a credit score.
Users can choose to pay their balance and interest using a variety of methods including Fiat transfers or Crypto.
Connect Financial offers 5 different credit card levels. Each type/tier offers a slightly different Credit Card and associated benefits.
Here is an overview:
Basic – No staking required, 1.5% fee Crypto to Fiat conversion, 11.40% APR on credit used, up to 6% yield APY on stable coins and fiat holdings.
Silver - 5000 CNFI staked, 1.30% Crypto to Fiat conversion fee, 10.90% APR on credit used, up to 8% yield APY on stable coins and fiat holdings.
Gold – 20,000 CNFI staked, 1% Crypto to Fiat conversion fee, 9.90% APR on credit used, up to 9% yield APY on stable coins and fiat holdings,
Platinum – 100,000 CNFI staked, .75% Crypto to Fiat conversion, 8.90% APR on credit used, up to 10% yield APY on stable coins and fiat holdings,
Black – 200,000 CNFI staked, .5% Crypto to Fiat conversion, 7.90% APR on credit used, up to 12% yield APY on stable coins and fiat holdings.
Proposal Impacts on Key Metrics
Cardano has one of the most loyal blockchain communities in crypto (which is evident by the high number of staked ADA (73%). Connect Financial intends to add to the Cardano community by facilitating ADA's expanding asset class with enhanced use and utility.
Connect Financial also has a very loyal following with over 57% of CNFI staked since launch on March 26, 2021. It is worth noting that currently the cost to redeem, stake and un-stake CNFI on Ethereum ranges between $40 and $300 USD depending on gas costs. This has left many Connect community members requesting alternative blockchain solutions.
Connect Financial customers are also looking to hold tokens or coins that we allow as collateralized assets, which are specifically vetted, and must conform to a strict list of requirements. (Strong volume, High Liquidity, Low Volatility, Strong Community, etc) ADA will become one of these collateralizable assets.
In Project Catalyst Fund 4 Dapps & Integrations: "Cardano payments card" was requested. Cardano payments card (ideascale.com). Connect Financial is here to answer this call by bridging the gap between the Legacy CeFi and Cardano DeFi space.
In Project Catalyst F4: There was a Fund 6 Challenge Setting "Migrate Ethereum" (ideascale.com) which was one of the top clapped proposals. Connect is also here to answer this call by being one of the first Eth based projects to migrate to Cardano.
Definition of Success
Successful and complete Bridging of Connect Financials Staking, Treasury and Yield Protocols to Cardano by the end of Q1, 2022.
Significant Adoption and use of Connect Financial products and services by the Cardano community while having the ability to use their ADA holdings as collateral.
In Conclusion
Although classified as an asset, Crypto holdings typically can't be leveraged the way other traditional assets can. Our core members have over 20 years experience each in our relevant field and have been preparing legal, compliance and network approvals required to bring our product to market since 2019. Our Client Portal and Credit Card products are set to begin shipping Q3 2021 along with the launch of our Treasury Protocol.
We are not merely a crypto-backed credit card. We are a place to buy, sell, borrow, lend, store, convert and swap crypto. We have positioned ourselves as a viable option for the under-marketed unbanked and for those ready to expand away from traditional corporate banking products and services.
The benefits of this integration to Cardano and the ADA Community are massive. It gives us the proper foundation to facilitate our full integration of Cardano and any future Cardano based tokens, defi networks, or exchanges into the Connect Financial platform.
This will allow us to provide a native ADA collateralized Visa Credit Card, new more efficient yield farming vault strategies, and a broader range of tokens for swap or exchange to ADA holders.