Please describe your proposed solution.
Our proposed solution aims to create a link between physical and digital assets through a Cardano Native token. We have the technology built for Ethereum currently and will be building the solution on Cardano. Essentially, it is a product-bound token that can only be removed from somebody’s wallet if the physical item is sold. The token will then be recognized only in the new owner’s wallet. We will be creating a new asset standard for these Physical-Bound tokens.
One major problem in the luxury brand industry is counterfeited goods. Sales of counterfeit goods are estimated to be at $1.7 trillion to $4.5 trillion. Watches, footwear, luxury clothing lines all can be counterfeited. On top of this, paper certificates, QR codes, and other mainstream solutions can be duplicated or faked. Through our proposed solution, we create a digital asset on Cardano that cannot be duplicated or moved to another wallet unless the owner of the physical goods is changed.
As of now, there is no standard token on Cardano between physical goods (watches, jewelry, antique cars, clothing) and their digital counterparts, particularly in the context of premium brands that seek to uphold their high-value reputation with their physical items.
By creating the standard to associate physical commodities with a product bound token, Cardano can attract luxury brands, clothing brands, and other physical goods companies to use this solution. A product bound token enables owners of high value physical products to prove ownership of authentic luxury items.
We believe this approach will revolutionize the digital asset landscape for high-value brands. It would maintain the exclusivity of premium products, enable brands to track their high-value customers both in real life and online, and authenticate ownership of the physical goods.
The beneficiaries of this solution will be premium brands that struggle with counterfeited products, as well as consumers who value the products from these brands.
Our solution will engage the broader Cardano community, blockchain developers, premium brand companies, and end consumers. The impact of our solution will be demonstrated through the adoption rate among premium brands, customer satisfaction, the stability of premium brand values, and an increase in unique, product bound tokens on the Cardano.
This solution is unique as it addresses a gap in the digital asset landscape that is currently unexplored on Cardano. Tracking and proving authenticity of your premium goods enables Cardano to attract premium brands. Moreover, this solution can catalyze building other product related solutions in the supply chain industry.
In summary, our solution presents a unique and innovative approach to preserving the value of premium brands in the digital world, enhancing the customer experience and increasing trust and transparency leveraging the Cardano blockchain.
How does your proposed solution address the challenge and what benefits will this bring to the Cardano ecosystem?
Our proposed solution creates a new standard for connecting physical goods with digital assets to prove authenticity of physical owners using the Cardano blockchain.
Our solution has several benefits to the Cardano ecosystem:
Attracting new market segments: Our solution will attract premium and luxury brands to Cardano's ecosystem, an untapped sector that will expand Cardano's reach and use-cases.
Enhancing Cardano’s utility: It leverages Cardano's native token capabilities for something more than just digital transactions, making Cardano the blockchain of choice for real-world, high-value asset tokenization.
Increasing Cardano's user base: The solution will bring in more users who value authenticity and are seeking to prove ownership of premium physical goods in the digital sphere. We conservatively estimate an addition of hundreds of brands and thousands of users within the first year post-implementation.
Boosting Cardano’s reputation: By solving a real-world problem regarding luxury goods, Cardano will be seen as a practical and viable solution for real-world problems, elevating its reputation and adoption across developed nations and enterprise businesses.
In essence, our project contributes to strengthening the Cardano ecosystem by extending its utility, broadening its user base, and introducing a new way to leverage Cardano's native tokens. We believe this solution will further establish Cardano as the blockchain of choice for real-world applications, and strengthen its position in the global blockchain arena.
How do you intend to measure the success of your project?
The success of our project will be determined by both quantitative and qualitative metrics to give us a well-rounded understanding of the impact and reception of our solution. Here's how we plan to measure success:
Adoption Rate by Brands: A key quantitative measure of success will be the number of premium brands adopting our solution. This indicates the market's acceptance and trust in our product.
Token Transactions: We'll measure the number of product-bound token transactions on the Cardano blockchain. An increase in these transactions suggests that our solution is being actively used, which validates its practicality.
Feedback from Brands & Users: User satisfaction is a significant qualitative metric. We'll collect feedback from brands using our solution and from end consumers who interact with these tokens. This feedback will guide our continuous improvement efforts.
Community Engagement: We'll assess the level of engagement and interaction from the Cardano community, as shown by comments, suggestions, and participation in our forums and social media platforms. This will provide us with invaluable insights and a measure of how well our project resonates with the community.
Scalability: The ability to successfully expand our service to a larger range of brands and types of physical goods will be another measure of success.
We believe these metrics are realistic as they cover both the direct impact (brand adoption, user feedback) and the indirect benefits (community engagement, scalability) of our project.
In terms of Cardano's productivity and growth, our innovation contributes in both the short and long term. In the short term, our project can attract new users and brands to Cardano, potentially increasing transaction volumes. In the long term, by demonstrating a practical use case of Cardano's smart contract capabilities, we can encourage more developers to build on Cardano, further strengthening the ecosystem.
Please describe your plans to share the outputs and results of your project?
Our plan to share the outputs and results of our project is centered around transparency and active engagement with the community, the brands, and the end-users who will interact with our product-bound tokens. We already have the solution built on Ethereum so adding on Cardano functionality will open this blockchain to all those opportunities.
Community Engagement: We will regularly update the Cardano community through various channels like Town Hall, our own social media platforms, and other forums. We aim to keep the community informed about our progress, the challenges we encounter, and the milestones we reach. These updates will not only provide transparency but also allow for valuable feedback from the community.
Brands and Users Interaction: We plan to work closely with the brands adopting our solution and their users. We'll share with them the effectiveness of our solution in maintaining the value of their premium goods in the digital sphere. We'll also keep them updated on the project's development, new features, and improvements based on their feedback.
Public Presentations and Reports: We plan to share our findings and experiences in the form of presentations at relevant conferences and through detailed reports. This will be an opportunity for us to demonstrate the value of our solution and its impact on the Cardano ecosystem.
Further Research and Development: The results generated from this project will be used as a foundation for further research and development. By analyzing the metrics we gather and the feedback we receive, we can identify areas for improvement and expansion. For example, we might find that certain types of physical goods are more compatible with our solution, or that users prefer specific features. Such insights will guide our future development efforts and help us refine our solution.
By spreading the project's outputs over time and through these different channels, we aim to maximize the project's impact and opportunities. We believe our project will not only bring value to the Cardano ecosystem but will also pave the way for more innovative uses of blockchain technology in the world of physical goods.