Please describe your proposed solution
Overview
To onboard developers, blockchain networks must provide developers with a set of essential building blocks. We call them a “Minimum Viable Infrastructure.” Without offering essential services, the unique capabilities of the Smart Contract Pallet are not accessible to consume.
At Protofire, we specialize in removing blockers that prevent developer ecosystem organic growth. In this proposal, we will address one of these blockers: the lack of a multi-sig wallet that could be edited without changing its address, providing a smooth workflow and a desirable user experience. It is an essential tool for:
- DAOs and individuals to manage cryptocurrency assets
- Interacting with Smart Contracts in a secure manner
Even though Cardano has multi-sig solutions, like Roundtable, the UX & UI, and functionality are far from cryptocurrency standards. Without multisig wallets with an intuitive user-friendly interface, able to interact with smart contracts, with basic reporting and straightforward workflows institutional adoption is not going to be possible. This sort of tool is key for Cardano to move forward to the big leagues and compete with Ethereum L2s.
Solution
The primary purpose of the proposal is to develop a native Cardano Multisig to provide a full scope of multi-sig functionality to the process of interacting with smart contracts. Recognizing the challenges this ecosystem faces when trying to get more adoption into decentralized applications, this solution aims to:
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Enhanced security: Multi-sig wallets offer an extra layer of security by requiring multiple approvals before a transaction can be executed. This reduces the risk of unauthorized access or fraudulent activities.
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Increased control: Multi-sig wallets allow multiple parties to hold control over a single wallet. This can be useful for businesses or organizations where multiple individuals are responsible for managing funds.
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Flexibility: Multi-sig wallets can be customized to meet the needs of different users. For example, the number of signatories required to approve a transaction can be adjusted based on the user's preferences or security needs.
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Trustless transactions: Multi-sig wallets can be used to facilitate trustless transactions in decentralized applications. This means that users can execute transactions without relying on a central authority or intermediary.
Approach and Roadmap
Based on our experience, Protofire suggests implementing smart contract-based multisig on Cardano:
- Start the project with a Discovery & PoC phase to define the functional requirements and architecture and prove feasibility.
- Deliver an MVP in two releases based on the functionality of Safe and other standards, architecture, and lessons learned from previous experience.
- Audits would be by a partner third party like Anastasia, or MLabs.
- Maintenance will be funded by early supporters and crowdfunding.
Working under these guidelines will produce a more secure product that is sustainable in terms of maintenance. This approach aims to become Protofire, a long-term key builder in the Cardano space.
Discovery & Multi-sig Minimum Viable Product phase
We will initiate the project with a thorough Discovery & Proof of Concept phase. At this stage, we will delve into the existing implementations and explore how we can enhance their value. The primary objective of this phase is to create a basic smart contract that can interact with other contracts on behalf of the owners. During this phase, we expect to detect potential challenges. However, we are confident that our experienced team will be able to find the best strategies to overcome them, which can only be fully understood when the project has been initiated.
By undertaking this approach, we aim to gain a comprehensive understanding of the current landscape and identify the areas where we can introduce innovative solutions. This will facilitate the development of a robust and effective smart contract that can fulfill the project's requirements.
One of the major limitations we highlighted in the proposal is the inability to add or remove owners of the multi-sig wallet once it is created. To address this, our design will incorporate methods in the smart contract that allow this flexibility.
Based on these findings we will develop a PoC set of smart contracts to deploy an MVP version on testnet.
After that, we will conduct an Incentivized Testnet Campaign to gain feedback from the Cardano community.
Future Plans
As a next step, we will combine the insights gained from our research with our experience in implementing multi-sig solutions in EVM environments. Drawing on our expertise in multi-sig architecture and lessons learned from building on top of Safe, we aim to develop an MVP that not only incorporates multi-sig logic in an ink! smart contract, but also provides an exceptional user experience through a well-designed user interface.
In considering the requirements of large multi-sig contracts, we will also evaluate the need for a backend that reduces transaction costs and improves user interactions. Through this approach, we are confident that we can develop a robust, user-friendly multi-sig solution that meets the project's goals and provides value to its users.