<u>I N T R O D U C T I O N </u>
The team apologizes for submitting a budget that may replace 2 other projects but because we believe that this project could have a large positive impact on other projects as well, particularly NFT projects backed by causes like Sustainability, growth of Africa… we felt we should go ahead and submit this proposal. We would be happy if this project plays a small part in helping Cardano win the metaverse wars.
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Cardano's low transaction cost and reliability and high number of transactions in the near future will make it the ideal place for NFT and metaverse projects, beating out Ethereum and Solana who currently hold the #1 and #2 spots. But we also need to be innovation leaders. Passively buying and holding NFTs and gaming may be what people think of today when they hear about NFTS and the metaverse, but it is only the beginning. This proposal will lower the barrier to entry for creating these deeper applications for the metaverse and NFT. As part of the platform we introduce a new concept of "NFT Boosting" which will provide a new revenue stream for NFT collections that can be used to support NFT collections.
Famous brands are looking for ways to be part of the explosive new world of NFTs but are unfamiliar with the NFT marketplace and may lack creative juices to go beyond creating NFTs from logos and images of merchandise. This factor has led brands to collaborate with existing NFT collections. Boosting is an easy way for brands to provide targeted rewards to NFT owners in a way that benefits both the booster and the collection.
<u>N F T B O O S T I N G</u>
NFT Boosting is what we call the increase of value of an NFT derived from extrinsic rewarding. Owners of NFTs that receive a stream of future rewards, special access to events or products… increasing the value of the NFT collection.
<u>Three methods to boost NFT value</u>
Direct Rewarding - Brands with an online presence offer specialty products and/or discounts to NFT owners of specific NFTs. For example a customer, Jane, visiting the online store will log into the store using her wallet. The online store detects the NFTs in her wallet ( using technology we develop in this proposal ). Jane will see specialty products and offers only available to owners of the collections.
Vaulting - Brands will allow some NFT owners to "park" their NFTs in special Vaults. While the NFT is in the Vault it accumulates ADA at a predetermined rate. While the NFT is in the vault, the brand may have rights to use the NFT. The earned rewards will be transferable to new owners of the NFT.
Metaverse Gamification - The most exciting way to use NFTs, we provide the technology to quickly build a metaverse game around trading NFTs, winning NFTs & building combinations of NFTs and combining NFT ownership with loyalty and reward points. Metaverse gamificatioin is an advanced NFT marketplaces and may set the standard for how NFTs are exchanged and purchased.
Benefits:
- Raising the valuation of collections with collapsing prices by making advancing to the next step conditional on matching NFTs from multiple collections.
- Increasing the value of an NFT collection by making ownership of an NFT one of the requirements to progress to the next level of the game.
- Setting up scenarios where users acquire NFTs to make a set and the set can then be traded for new NFTs.
- Users can win NFTs by advancing to the next stage of the game.
I N C E N T I V E S F O R B O O S T I N G ( N F T O W N E R S)
An NFT derives entirely from the intrinsic value of the artwork. NFT Boosting adds value to the NFT from extrinsic uses that result in streams of value to the NFT owner.
<u>Example</u>: By boosting the NFT we can increase its value over 64%
Before Boosting:
Demand for artwork. – 100 ADA
Future Value – 0
Utility – 0
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With Boosting:
Demand Driving NFT Value NFT
Demand for artwork – 100 ADA
Access to brand rewards – 25+ ADA
Utility – 30 + ADA
<u>I N C E N T I V E S F O R B O O S T I N G ( B R A N D S ) </u>
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Demonstrating Support For Sustainability, Fair Trade Practices…...
Brands are being held to account for responsibly practicing sustainability, fair trade practices, and being responsible corporate citizens by contributing to the fight against poverty, pollution, and supporting resistance from conquering armed forces. Boosting is a good way for brands to signal support for a causes while providing a simple funding mechanism for solutions by boosting the price of NFTs in that collection. Boosted NFTs might even become a source of income for WADA, Sustainability….
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Access To A Growing Demographic
NFT owners are a fast growing demographic with disposable incomes attractive to brands. Boosting is a way to provide targeted rewards to NFT and loyalty points including offering specialty merchandise, discounts and other promotional offers such as line skipping to the owners of NFTs.
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<u>D E L I V E R A B L E S </u>
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The project will be broken down into two phases. Each phase of the project will deliver a complete set of products. Phase I will be funded by this proposal. Phase II will be funded by a token sale. The products are built on technology that has been researched and developed over multiple years.
PHASE I ( Funded with this proposal)
<u>U S E C A S E S:</u>
Brand Owner:
- Build a metaverse by adding rules for advancing and icons.
- View NFT collections filtered by type and causes they represent.
- Request the right to use NFTs from the collection owner.
- View NFTs owned customers when they come to my website and display specialty products, discounts…. earned by the customer.
Brand Customers:
- Log into catalogs to view specialty products, special offers, discounts….
- Buy, trade, and build collections of NFTs to advanced levels in the metaverse.
- View ADA earned by vaulting my NFT
NFT Collection Owners:
- View requests to use NFTs from your collection
<u>P R O D U C T S:</u>
Metaverse Builder App:
Metaverse Builder makes it easy to build meta verses with 2D and 3D in interfaces where users use NFTs advanced levels. Advancing to new level may be based upon owning one or a set of NFTs, earning rewards etc. Each level achieved wins the player new rewards such as winning valuable NFTs, access to specialty products, discounts, loyalty points, line skipping….
Along the journey NFTs may accumulate value by vaulting, users may trade sets of NFTs for a more valuable NFT, etc
Javascript Library
Customers log into online sites and view offers and specialty product discounts etc., based on the NFTs in their wallets. A Javascript library will support logging in with a Cardano wallet and fetching a list of NFTs that belong to the wallet.
Admin Website
Basic website that allows Brand owners to request permission to use NFTs from NFT collection owners and up rewards for NFTs. NFT collection owners can approve the use of NFTs in their collection.
PHASE II (Funded Separately)
The second phase of the product will integrate our technology with game engines to bring awesome 3D experiences while bringing deep integration of the twin worlds - Meta and Non-Meta universes.
Integration with Game Engines such as Unreal Engine
The Meta and Non-Meta universes are divided by a wide gulf across which a few transactions cross a narrow bridge-mainly deposits and withdrawals. In the second phase, we will merge the Meta and Non-Meta universes by allowing developers to embed smart contract logic within the game itself. The smart contract logic is embedded in a totally natural way in the game scenery.
Develop a synchronization bridge between the Meta and Non-Meta universes simply by interpreting game scenery, i.e., passing a guard house, shooting down a spacecraft, breaking rules …. will have natural consequences in the the non-meta universe such releasing escrow, winning/losing an NFT, and being fined….
<u>O T H E R U S E C A S E S </u>
The use case listed above is only one of many possible use cases for a meteverse builder.
Below is a list of ideas
NFT Marketplace - Advanced OpenSEA on Cardano
NFT Journeys are advanced marketplaces that fill many gaps present in OpenSEA .
- A marketplace where NFTs and Brands meet.
- A marketplace where NFTs can be vaulted to acquire value in exchange for rights to use the NFT.
- Gamified scenarios for acquiring NFTs that might intelligent strategies of NFT buying to win valuable NFTs
Interface for Last Mile Supply Chains, Loan and insurance applications targeting small farmers.
Last mile supply chains often include participation of small landholder farmers with limited exposure to technology. A metaverse provides an easy skeuomorphic interface that can be intuitively understood by audience of diverse backgrounds.
Blockchains , Large Social Media Companies (Meta for instance) and large brands like Lamborghini ,Nike ,Pepsi, Coca-Cola and many others are competing for a share of the Metaverse market- projected to grow at 37% annually and reaching USD 678.8 billion by 2030 Cardano is poised to win the Metaverse wars with low transaction costs and high reliability using technology based on peer reviewed papers. We intend this project to help bring Cardano to the front of the pack.
<u>H O W W E A D D R E S S C H A L L E N G E C R I T E R I A</u> (Guiding Questions)
<u>Question 1</u>: What are the key applications that underpin the application ecosystem on other platforms?
-> Our Answer: Metaverse/NFT is THE #1 application on the Ethereum and Solana Platforms.
<u>Question 2</u>: What are the most profitable or most used applications on other ecosystems?
-> Our Answer: NFT is by far the most profitable and most used application on Ethereal and Solana as well as many other platforms
<u>Question 3</u>: What needs do users of Cardano have that could be solved by new applications?
-> Our Answer: Cardano already has many NFT Collections many promoting social responsibility.By providing non-passive use cases for these NFTs it will raise NFT valuations in general and it it hoped it will provide income streams for organizations such as WADA and …
<u>Question 4</u>: What applications deliver the highest amount of value with the least amount of technical sophistication?
-> Our Answer*:* again the answer is NFTs. Cardano technology makes creating NFTs easy relative to other protocols.
<u>H O W W E A D D R E S S C H A L L E N G E C R I T E R I A</u> - Potential directions
We are very pleased to see that "NFT marketplace or facilitator" was identified directly in the challenge criteria.
<u>H O W W E A D D R E S S C H A L L E N G E C R I T E R I A</u>- Key metrics
By providing a platform that allows building infinite non-passive use cases for NFTs that in turn appreciates the value of NFT collections we hope two have a massive impact on the rapid adoption adopters of Cardano by adding a key component to already impressive technology when combined will allow Cardano to claim the number one spot in NFT development.
As a DApp that is a platform used for creating new DApps (metaverses) the completion of this project will hopefully result in the creation of many very successful DApps
The project faces the following technology and business risks:
- For Cardano to become #1 in NFT and metaverse Hydra would have to be succesfully implemented in order to achive high TPS required by meteverse and NFT sales.
- Competition from Microsoft, Facebook. The metaverse wars are being fought by all the blockchains plust large social media companies like facebook. It is possible although not likely for large companies with large budgets build similar products with out of box market traction.
- Covid is unpredictable and it is possible for my team to be delayed if covid attacks our office.