xGov 195: Arcpay

Proposal link published in a Google Doc:

Github link:

id: 195
period: 4
title: Frostbits Solutions Arcpay
author: Wilder Stubbs (@WilderStubbs)
email: wilder@frostbits.solutions
company_name: Frostbits Solutions
category: dApps, SDK
focus_area: Payment Processing, NFT
open_source: Yes
funding_type: Proactive
amount_requested: 149000
delivery_date: 2024-08-31
status: Final


Arcpay is a plug and play open-source payment processing platform to easily transact on the Algorand blockchain. Arcpay empowers businesses to receive Algorand tokens as payment simply and build advanced workflows for use cases such as community engagement through loyalty point redemption, subscription payments, e-stores, etc.

Arcpay is meant to be a gateway to the Algorand ecosystem that provides a streamlined path for traditional web-based projects and removes barriers to entry through an easy to use web interface and SDK. Arcpay will support network tokens and all Algorand Standard Assets (ASAs).


  1. User Dashboard & Statistics
  2. User Settings
  3. Create Listing or Listing Wizard
  4. Buy Listing or Payment Modal


Our team is composed of seasoned professionals with extensive experience in blockchain technology. This background provides a robust foundation for addressing the unique challenges of integrating Web2 with Algorand Virtual Machine (AVM) technologies, ensuring Arcpay’s seamless functionality across diverse digital environments.

Expertise and Roles:

  • Blockchain Development: Four senior software engineers, including two PhDs in computer science, bringing over a decade of combined blockchain experience.
  • UI/UX Design: Specialists in creating intuitive, user-friendly interfaces that make complex functionalities accessible to non-technical users.
  • Project Management: Agile and lean methodology experts ensuring that Arcpay development is responsive, on schedule, and aligned with governor expectations.

Experience with Algorand

The Frostbits Solutions team has been contributing to the Algorand ecosystem since 2021. Notably with Algogems, an Algorand platform known for its pioneering work in NFT creation and trading. We have a strong technical understanding of AVM technologies!

Algogems NFT Marketplace

Present Proposal

Problem Description

Integration of Algorand technology into existing applications presents significant technical and operational challenges, hindering broader adoption and confining blockchain applications largely to niche markets. Common barriers include the need for specialized knowledge, security concerns, and integration complexities.

Aligned with Algorand’s vision of global decentralization, scalability, and security, Arcpay introduces a seamless gateway to the ecosystem and provides a streamlined path for businesses to transact on the blockchain. Use cases include B2B and B2C payments, loyalty point management and redemption, and removing intermediaries for improved operating margins. This will make Algorand an appealing and cost-effective choice for businesses entering the competitive Web3 ecosystem.

Solution Approach

Arcpay will bridge traditional applications and blockchain by providing:

  • Seamless Integration for Businesses: Comprehensive suite of APIs and a well-documented development kit for easy Algorand payment integration.
  • Smart Contracts as a Service: Transparent, customizable, ready-to-deploy smart contracts for various transaction types.
  • Dual Integration Modes: Magic link-based setup for non-technical users and advanced development kit integration for tailored user experiences.


Technical Approach

Arcpay is built on principles of flexibility and user-friendliness, with a commitment to open-source development and community collaboration. Security strategies include community-driven vulnerability assessments and periodic expert reviews if financially viable, ensuring a reliable and secure platform. The Algorand native solution will build upon and refine the Arcpay platform created for Voi Phase1 testnet.

  • Supports appropriate assets
    • Sellable Assets
      • RWAs
        • No token standard, these are any goods that aren’t on chain. We provide payment processing and API integration.
      • NFTs
        • ASA
          • ARC3
          • ARC19
          • ARC69
      • SFTs
        • ASA
          • ARC3
          • ARC19
          • ARC69
    • Buying Assets
      • Tokens
        • ALGO
        • ASA
    • Ability for user to connect their wallet
      • Pera
      • Defly
      • Exodus
      • Lute
    • Views on the Arcpay Web Interface
      • Sign In
      • Network Switch
        • Testnet
        • Mainnet
      • User dashboard
        • Create a listing
          • List of available assets
          • Listing wizard
        • Active listings
          • List of active listings
          • Manage listing (Edit, Cancel)
        • Statistics
          • Volume
            • Revenue
            • Fees
        • User Settings
          • Username
          • Link address
          • Social links
        • Secondary market settings
          • Fee rate
        • API subscription page
          • Free
          • Paid
      • Purchase
        • Buy Now
          • RWAs
          • NFTs
          • SFTs
        • Bid
          • NFTs
          • SFTs
    • Supported sale mechanisms facilitated by smart contracts.
      • Fixed-price sale
        • ALGO for RWAs
        • ASA for RWAs
        • ALGO for ASA
        • ASA for ASA
      • Auctions
        • English
          • ALGO for ASA
          • ASA for ASA
        • Dutch
          • ALGO for ASA
          • ASA for ASA
    • Link to assets on the block explorer
      • Allo
      • Pera Explorer
    • Deployed and working on
      • Algorand
        • Testnet
        • Mainnet

Concerns & Risks

Concerns Mitigation Strategies
Technical Challenges Incremental Deployment: Roll out features in stages to manage complexity and allow for focused testing and optimization at each step.
Community Beta Testing: Prior to official release, conduct extensive beta testing with community members to ensure real-world applicability and robustness.
Bugs and Broken Features Ongoing Maintenance Post-Launch: Continue to address and rectify any issues that arise post-launch on the mainnet, ensuring the platform remains reliable and secure.
Adoption Rates Partnerships: Form strategic partnerships with key players within the Algorand ecosystem to leverage their networks and gain credibility.
Hosting Sustainability Revenue Model Implementation: Develop and implement a clear revenue model to support long-term hosting and operational costs.
Performance Monitoring: Regularly review performance metrics to ensure that hosting remains financially viable and adjust strategies as needed.
Documentation and Community Support Documentation: Develop comprehensive, easy-to-understand user and developer documentation.
Community Channels: Establish and maintain active community support channels, including forums, live chat support through Telegram, X, and Discord.
Feedback Loops: Implement structured feedback loops to continuously improve documentation and support based on user input.
Ongoing Maintenance A 4-week review and validation phase per milestone launch, followed by ongoing maintenance, ensures platform reliability.

Future Blueprint

Project Longevity

Designed for sustained growth, Arcpay will evolve with blockchain advancements and community feedback. Supported on both the Algorand testnet and mainnet, our platform aims for long-term operational sustainability through a clear revenue model. Our commitment extends to maintaining the platform for at least one year after final delivery, with intentions to continue as long as it remains economically feasible.

Project Timeline

  • Development Kickoff: Immediately after successful voting, targeted to start smart contract development by June 3rd.
  • Milestone 1 - MVP Release: Core functionalities within four weeks.
  • Milestone 2 - Enhanced Features: Introduction of auction systems by the sixth week.
  • Milestone 3 - Final Delivery: Full deployment readiness by the eighth week.

Throughout the project, we will actively gather and incorporate feedback via the Algorand Forums, social media, and messaging platforms ensuring that Arcpay not only meets but exceeds community and user expectations.


Milestone ETA Scope
Milestone 1 - MVP 4 weeks - ASA to ASA sale contract
- End-to-end UI to create sale and interact with contract (Sign In, User dashboard to create, edit, and list NFTs and payment modal)
- Link to assets
- Secondary market sales listings and settings
- Integration through direct links
- Development kit to interact with the listings
- Documentation
Milestone 2 6 weeks - ALGO to ASA sale contract
- ASA to ASA English Auction contract
- ASA to ASA Dutch Auction contract
- ALGO to ASA English Auction contract
- ALGO to ASA Dutch Auction contract
- Secondary market auctions listings
- Updated UI for Auctions
- Updated Development kit for Auctions
- Updated documentation
Milestone 3 - Final Delivery 8 weeks - ALGO to RWAs sale contract
- ASA to RWAs sale contract
- User dashboard with statistics and settings
- API Subscription page
- Updated UI for RWAs sale
- Updated Development kit for RWAs sale
- Network switch
- Updated documentation

Benefits for the community

Expected Impact & Outcomes for the Algorand Community

  • Ecosystem Growth: Simplifies integration for businesses, promoting Algorand ecosystem growth.
  • Broadening Accessibility: Bridges traditional and decentralized economies, revolutionizing B2B and B2C transactions on Algorand.
  • Analytics: Provides businesses sophisticated tools to refine strategies and align offerings with market demands.
  • Strategic Partnerships: Enhances utility and liquidity of tokenized assets with major Algorand projects. This includes Cosmic Champs, Algo Leagues, Flipping Algos, and the list grows.

Define Success

Success for Arcpay will be defined by the adoption rate among businesses and P2P users, the volume of transactions processed through the smart contracts, and positive community feedback regarding its impact on the ease of integration.

We envision Arcpay’s success playing out in two sequential stages:

  1. Adoption by top Algorand players such as top NFT projects, Wallets, and existing dapps.
  2. Expansion to traditional businesses and non-Algorand native Web3 projects.

Additional information

Contact Information

This proposal is supported by Frostbits Solutions, a Canadian company specialized in custom, cutting-edge software, that leverages decentralized networks to facilitate rapid, secure, and cost-effective exchanges of digital goods.

Website: frostbits.solutions
Email: wilder@frostbits.solutions
Twitter: @WilderStubbs
Discord: algogems


What is ARC-13? it does not exist, are you confusing with ARC-19?


Yes. I am changing now. Silly mistake.

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Media will be added to the proposal document and forum post around May 1st for those who would like to see concept images and examples of the UI!

I think this, if advertised properly could turn into a big thing for onboarding businesses on algo rails for their tokenization needs. The one thing i feel the proposal could benefit from is, more clear picture - perhaps a user story- to help quickly grasp the benefits and value it brings. took me some time to untangle it tbh.


Same thought. Needs to have it boiled down to an ELI5 or it’s going to get overlooked.

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Thank you Simon and Ghost for the comments. Media explainers are OTW as promised, in the meantime here is a ELI5:

Arcpay is like a special tool that helps people buy and sell digital items like NFTs and other digital or physical goods that aren’t usually sold as tokens, using the Algorand blockchain. Here’s how it works, explained simply:

  1. Peer-to-Peer Trading: This is like selling something directly to a friend over the internet. You use Arcpay’s website to create a listing for what you want to sell. If someone likes your listing, they can pay and buy it directly using a link you share, maybe through Twitter or another social media.

  2. Using a Software Kit: If you have your own website, you can use Arcpay’s tools (We call this an SDK) to let people list and sell items directly from your site. You can also set it up so you get a fee every time someone sells something. This is like having your own mini eBay or Etsy but for digital goods.

Arcpay is designed to be really easy to use so that anyone can get into selling digital items, whether they’re tech-savvy or not. For businesses, it’s a way to make extra money by helping others sell their digital goods.


Great explanation. Cool idea.

Is there a marketing strategy to get people to use the product in the future?

How do you see this as a market fit right now with many ways for business to utilize a marketplace to do the same?

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Is there a marketing strategy to get people to use the product in the future?

Social Media

  • Simplicity: Highlight Arcpay’s ease of use and seamless integration capabilities. This is the real value add we want to emphasize. Arcpay can be used for P2P transactions, but it shines when providing new focused revenue streams for existing businesses through the SDK and secondary fees.
  • Open Source and Community-Focused: Emphasize the open-source nature and community-driven development of Arcpay. This will encourage the developer community to get involved. Similar to how Defly was born from Pera open sourcing.
  • Cost-Effectiveness: Promote cost savings through low cost transactions and reduced intermediaries. This is more of a general Algorand marketing tactic, but we think it still is quite relevant. Additionally the reduced fees compared to existing marketplaces will draw in new users. The fees will be structured in a way to promote adoption through being the best value NFT or non-tokenized RWA. We aim to achieve a sustainable fee by end of year 1.

How do you see this as a market fit right now with many ways for business to utilize a marketplace to do the same?
Currently there are no SDKs that businesses can use to have secondary or primary listings on their own sites. Existing NFT projects rely on royalties as the only recurring stream of revenue. By utilizing Arcpay’s SDK, projects can add fees from secondary sales as a new revenue stream.
Additionally, when using Arcpay you no longer have to compete for page space with every other project, or conform your site design to what is offered by the marketplace. You can have dedicated pages you create that will make the NFT purchasing and listing process visually superior to existing marketplaces for your brand with UX the way you want it.
Finally and arguably most importantly, Arcpay allows for the sale of non-tokenized assets by working as a payment processor for businesses accepting ALGO and ASAs. For example you can sell a t-shirt for tokens without having to mint an NFT for every shirt. We have experienced the friction this adds to the listing process and think some assets don’t need to be tokenized for the sake of conforming to existing marketplaces.

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Visuals are now added to the proposal. This should provide the xGov’s a clearer idea of what we want to deliver and the high level of UI we are striving for. The UX is top of mind when it comes to Arcpay and we are excited to execute!

Look great and seems like a really easy way to get payment processing in - the added dashboards really add value.
FWIW, I’d use this for merch store or something akin to that.


Awesome. Excited to see what happens. Thanks for the great response.

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Congrats on your proposal passing!


Thank you! We are excited to deliver on an outstanding platform.

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