[SOLUTION] Please describe your proposed solution.
History
The DripDropz MainStreet Suite received Project Catalyst Funding in Fund 9 to create a Proof of Concept. This work is in the final stages, and we are continuing to make progress in developing the app to a more mature product. Following the rules of Fund 11 Solutions category, we would like to continue the journey towards MVP by completing the application for the first 23 US Money Transmission Licenses.
The Proof of Achievement Milestone video attached to this proposal shows the working demonstrator proof of concept that we are currently using to show investors what the future functionality of our App will be. This is the delivered, public proof of concept for the community to review. We are excited to continue pushing forward!
Solution
The purpose of this proposal is to cover the cost of obtaining Money Transmitter Licenses (MTLs) in the United States. MTLs are required for businesses that transmit money across state lines, and they can be a significant financial burden for a small business, such as DripDropz. This grant would allow Mainstreet to obtain the necessary MTLs and expand our business into US markets.
Our progress so far is visible to the community through our milestone reporting for our successful fund 9 proposal. We have built a prototype of the front end, and are currently building out the prototype back end tooling utilizing the Fire Blocks test net. We have already executed the contract, and achieved premier partner status with Fire Blocks. We have retained the legal counsel necessary to interface with all of the states and territories. We have also established a relationship with Google to implement an AI based AML/Fraud prevention tool.
Mainstreet is a peer to peer commerce solution that utilizes the power of Cardano Native Assets and fuses them with the technology behind Fire Blocks to create a mobile experience that is unrivaled in the market today. In order to allow US users to participate in the use of the Mainstreet app, we are required to acquire Money Transmitter Licensing in all 50 US states and 4 territories, as well as establish relationships with a Know Your Transactions provider, and a Banking servicer. This proposal will move us in that direction by applying for 23 State licenses.
The original goal for Mainstreet was to build the prototype application and reach out to investors to fund the above requests and continue development. While that is still a possibility, the very recent shift in regulatory sentiment in the United States has limited the number of investors still interested in funding U.S. based operations that include cryptocurrency payments. As such, we are reaching out to the Cardano Community to continue to move forward with this plan.
There are two ways the community can help us complete our goals. We have opened an opportunity for the Community to own a piece of MainStreet as well. That fund raise is currently opened at WeFunder as a crowd fund equity raise that will support future operations and development of the software. In addition, voting yes on this proposal ensures that funds for operations from the fundraise will not be diverted for the license costs.
[IMPACT] Please define the positive impact your project will have on the wider Cardano community.
The benefits to the Cardano ecosystem are easier onboarding processes and access to a peer-to-peer commerce platform that will drive higher adoption of Cardano Native Assets into the small business community. We measure impact through increased transactions and higher number of native assets created on the Cardano network.
[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?
The DripDropz Mainstreet team is fully public and the team members regularly engage with community members at public events. We had booths at RareEvo and NFTxLV this year, and three of our core team members were speakers at the Cardano Summit in Dubai.
Our team members are active in Catalyst Town Hall, as well as the Intersect MBO. We regularly place updates on our Twitter, LinkedIn, FaceBook, Instagram, Mastodon, and TikTok. We have a YouTube channel where we place video updates for new features, as well as share our After Town Hall presentations. We also participate in a weekly “Space Place” chat on YouTube, and take questions from the community.
We have delivered on previous promises for Catalyst, closing out our Open Source Voting Proposal. As of the time of this writing, our first Mainstreet Proposal is also in the process of closing out, having acceptance of 4 of 5 milestones and the final milestone under way with anticipation of the final code being delivered in December.
We will share proof of application of the MTLs.
[Project Milestones] What are the key milestones you need to achieve in order to complete your project successfully?
Surety Bond Purchase
Milestone Outputs: A Surety Bond is purchased
Acceptance Criteria: A reviewer can view the Surety bond with the corporate identification.
Milestone Evidence: A private meeting to view the Surety Bond.
>Pay Fees to State Agencies.
Milestone Outputs: State Agency fees are paid for the 23 State licenses.
The 23 States in the list that will have applications submitted are:
California
Connecticut
Georgia
Iowa
Idaho
Illinois
Kansas
Kentucky
Louisiana
Massachusetts
Mississippi
North Carolina
North Dakota
Nebraska
Ohio
Rhode Island
South Dakota
Texas
Tennessee
Utah
Vermont
Washington
Wyoming
Acceptance Criteria: A reviewer can view the already submitted State licenses.
Milestone Evidence: A private meeting to view the State license applications.
>Milestone Outputs: A Closeout Report and Video
Acceptance Criteria: A reviewer can view the closeout report and video.
Milestone Evidence: A closeout Report is generated and published. A closeout video is generated and published.
[RESOURCES] Who is in the project team and what are their roles?
Anthony McDonough Finance/Audit
Lloyd Duhon Project Management
Melannie Duhon Media Team
[BUDGET & COSTS] Please provide a cost breakdown of the proposed work and resources.
This budget is entirely focused on acquiring money transmitter licenses, and as such does not have team labor, outside of our work to complete the paperwork and file the forms, as well as the overhead of Catalyst administration.
Our Estimated costs to complete the licenses for the 23 State MLAFSC is $63104.25 or 210348 ADA at $0.30 ADA Estimated. We have a spreadsheet that breaks down these costs here: https://drive.google.com/file/d/1_GuAd9SMOuaXnL5EIn6nZPCiBddAafxK/view?usp=sharing
The Administrative overhead for this is valued at $4000 USD or 12,500 ADA @$0.30 ADA Estimated.
[VALUE FOR MONEY] How does the cost of the project represent value for money for the Cardano ecosystem?
Completing this project will allow the Mainstreet Suite to take the next major step forward in providing a peer to peer commerce solution for the masses, while introducing them to the power of Cardano native assets.
