Components of The Ziwwe Project:
- Send Cardano stable coins** to any recipient in the world that will receive the funds in their local currencies.
- Match Maker functionality: Matching send transactions with local remitters to fulfill the transaction.
- Lending and borrowing for stable assets with APY. Lenders can receive up to 20% APY on their stable assets.
Audience:
- People seeking to send money internationally to friends and family.
- Small business seeking to remit money for the fulfillment of goods and services.
- Local remitters seeking to join the Ziwwe platform to remit funds from senders to recipients.
- Node operators and Match Makers seeking to match Senders with Remitters.
Impact:
- Senders can send Cardano stable assets to recipients anywhere in the world at minimal cost with a fast transaction finality.
- Increase in the labor force of countries as local remitters, especially developing nations in the MEA region, are able to fulfill transactions and get compensated.
- Increased GDP, since the labor force is increased for participating countries.
**Note: Cardano does not yet have any stable coins that are widely used by the Cardano ecosystem. This project is dependent on that.
- Digital crypto assets can now be transferred from one source to a destination, received as fiat.
- Grow the world! By allowing remitters sign up and use Ziwwe to remit money to recipients, the GDP of these countries increase, especially for developing countries.
- Banking the unbanked. Allowing anyone from anywhere, especially developing nations to lend/borrow stable assets at competitive collateral rates, and also allowing lenders of stable assets to reap up to 20% APY in returns.
Risks and Challenges:
- Stable assets: The entire Ziwwe platform is dependent on the availability of a stable asset in Cardano's ecosystem. At the time of this drafting, Cardano does not have a popular stable coin. Senders are only able to transact/send stable assets to their recipients. It is anticipated that Djed would have been released, and made available for use by the time Ziwwe is launched. We can completely avoid this risk by implementing an algorithmic stable coin, though this would definitely extend our intended launch date.
- Remitter Network: The Ziwwe Project relies on local remitters in their countries. If there are no remitters in a given country, remittances cannot be fulfilled in those countries. Thus, there is a huge dependency on a strong global remitter network.
- International regulatory concerns: Some countries have policies that may hinder prospective remitters from registering with the platform. While this move will not be beneficial to any country's GDP, all remitters would be required to abide by the laws of their countries regarding money servicing agents and transmitters.