Please describe your proposed solution.
“We don’t have great NFT related interfaces yet - and this is an area where Catalyst can step in” Charles Hoskinson, Town Hall, 1st June 2022.
NFT's are a huge part of crypto adoption. Ethereum alone has surpassed $25 Billion in NFT trading volume since the start of 2022. Cardano on the other hand, has only released native tokens last year, which makes our NFT ecosystem still very young.
To improve our NFT ecosystem, Cardano requires analytics tools so that NFT traders outside and inside the CNFT space have the necessary tools to trade NFT's intelligently, with the right data at their fingertips at a moments notice.
NFT traders require analytics tools to keep track of the multitudes of projects that are constantly being released. Having a dashboard that portrays this data will give them the information that they need to decide whether they will or will not mint.
Analytics platforms can utilise blockchain data pertaining to NFT's that can be utilised in a myriad of creative ways. With the right UI and Charts, NFT traders can have the information that they need at a specific moment in time, that can give them insights into their decision-making.
This is taken from Icy.tools, one of the most popular platforms for Ethereum.
This graph uses a scatter plot to show sales history within a span of time. Each dot represents a sale for a specific NFT project.
On the lower left part one can see the top buyers for the current dataset.
What's interesting is that the top buyer bought 45 NFT's from the collection. with this information one can track the wallet and find out:
- When the wallet will put these on sale
- How much they are selling it for
- They are obviously a wallet with a lot of funds. One can track other projects they are looking into. Wallets with more funds have more power in moving a project's sales floor.
- etc. etc.
Real-time listing data with rarity and instant buy
(Taken from blockprobe.io, another ETH platform) This feature must show the most recent listing up to the last minute. This also includes the rarity rank of the NFT listed. This is powerful as one can theoretically "snipe" or purchase rare NFT's if they were listed for sale for a very low price.
Floor resistance and listing data
Another feature we can include is by creating a graph that will show floor resistance. Our team would use listing data and prefer using a scatter plot instead. In any case, why this is important is because as a trader you need information that will give you insight whether one can sell at a specific price point with regards to sales volume.
If a trader knows for a fact that there are 100 buyers within the last 1 minute, and there are only 50 NFT's listed at 100 ADA, then this gives the NFT trader the information required to decide to perhaps sell at 60 ADA. Because he/she has the appropriate data to know that the NFT listed at 60 ada can be sold. Profit for the hypothetical trader.
These are merely examples of possible features that can be developed within our platform. As NFT traders ourselves who have utilised these given platforms, we understand the need for this within the Cardano ecosystem, and we also have the subject-domain knowledge as NFT traders to know what features will benefit other people that are interested in NFT's.
Once we develop this platform, we will be able to help accomodate the growing NFT ecosystem within Cardano. More importantly, with the proper platform, we can accomodate and on-board NFT traders in other eco-systems such as Eth and Solana. NFT traders are usually block-chain agnostic and just follow where the profits are. They do not like trading in Cardano because there aren't any proper tools in existence to help them trade comfortably. We will help Cardano grow through this tool.
Please describe how your proposed solution will address the Challenge that you have submitted it in.
NFTs are the gateway to crypto adoption. Ethereum alone has surpassed $25 Billion in NFT trading volume since the start of 2022. If our proposed solution comes into fruition, then we can expect this app to drive more adoption since NFT traders are usually chain agnostic. If they will turn a profit they will use the chain. However, we lack the necessary tools here in CNFT to drive adoption.
What are the main risks that could prevent you from delivering the project successfully and please explain how you will mitigate each risk?
Risks:
- Crypto winter. If this lasts for a long period of time, then our team might not have enough funds to work on this full-time. Development will still continue but slow down due to requiring us to have to work full-time jobs to pay for living expenses.
- NFT adoption. If NFTs are truly just a fad and have no utility whatsoever then the project will not have any users. (highly unlikely!)
- No funding from Catalyst. We will have to work on this project on our own and raise funds else-where. Either we do not secure funding, in which an MVP can be released next-year, create a beta-tester community then release an NFT pass to secure additional funding. If funding is secured then we will be able to hire personnel and release earlier.
- possible performance issues of app which will lengthen development time. This would mean burning through our initial budget which will require us to raise more funds.