xGov Proposal: https://github.com/algorandfoundation/xGov/pull/157
Author: Giles Campbell & Ronan Clooney
Advisors: Michael Cotton & AJ Milne
Discussions: Discord
Company Name: Algomint
Category: dApps
Focus Area: Cross-Chain
Open Source: No (Centralised Bridge)
Amount Requested: 260,000A
Status: Final
Abstract
This proposal outlines the development of a centralised bridge facilitating the seamless transfer of Cardano (ADA) and Algorand (ALGO) between the two chains. The bridge aims to leverage the unique nature of the Cardano and Algorand relationship and provide users on both networks with a secure and efficient means to transfer and utilise assets across ecosystems. Excess bridged assets will be held in cold storage through our custody provider. Why centralised? Speed and simplicity of implementation, a decentralised version though desirable would take significantly longer and require more resources. Costs associated with the build include additional tech requirements, marketing on both chains, custody provider fees and multiple audits ensuring the security of assets. If approved we can leverage the relationship with our custody provider allowing additional assets to flow between ecosystems. The Algorand ecosystem has a unique relationship with Cardano and we believe the time has come to take the first steps to embrace this. The Algomint team is also uniquely positioned to attract liquidity from ADA once the bridge is approved and a suitable reward mechanism is in place. Discussions with significant Cardano community members has revealed yield is the primary incentive that would drive interest in Algorand from the ADA community but would need to be accompanied by thorough tutorials and awareness campaigns. Significant additional research into implementation of a decentralised iteration will be continued moving forward.
Bridge Development (260,000A)
- Infrastructure Setup: Establish a secure and robust infrastructure for the centralised bridge.
- Custody Provider Integration: Integrate with a reputable custody provider to securely store bridged assets in cold storage.
- User Interface: Develop a user-friendly interface for users to initiate and monitor cross-chain transactions.
- Security Audits: Conduct thorough security audits.
- Integration Testing: Perform extensive testing of bridge’s functionality and security.
- Deployment: Deploy the centralised bridge, custody integration, and user interface components.
The reward structure will be designated and designed around TDR and collaborations with other Algorand defi platforms.
Team
- Giles Campbell: Algomint Lead
- Ronan Clooney: Lead Blockchain developer
- Gaurav: Frontend developer
Advisors
- Michael Cotton
- AJ Milne
Experience with Algorand
Algomint is a pivotal contributor to the Algorand ecosystem, specialising in a centralised bridge for seamless and secure asset transfer between Bitcoin (BTC) and Ethereum (ETH) with Algorand. Their expertise lies in establishing a robust infrastructure, integrating reputable custody providers, and creating user-friendly interfaces for efficient cross-chain transactions. Beyond the bridge, Algomint demonstrates proficiency in enhancing liquidity through innovative basket utility. This strategic approach allows users to leverage Algorand’s capabilities for instant transactions while accessing a diverse range of assets. Algomint is committed to growth and ecosystem support.
Present Proposal
This proposal seeks funding of 260,000A to develop a centralised bridge between Cardano and Algorand, providing users with a reliable means to transfer both ADA and ALGO between these ecosystems.
Benefits for the Community
This opens up the ability to collaborate with Cardano projects and incentivise Cardano users to bridge and try Algorand technology, DeFi and general ecosystem.
- Effortless Cross-Chain Transactions: Algomint’s centralised bridge guarantees smooth and secure asset transfers, enhancing interoperability between Cardano and Algorand and boosting cross-chain liquidity.
- Centralised Security Confidence: By leveraging a trusted custody provider, Algomint ensures the secure cold storage of excess bridged assets, fostering user confidence in the integrity and safety of cross-chain transactions.
- User-Friendly Interface for Growth: Algomint prioritises a user-friendly interface, simplifying cross-chain transactions and strategically attracting users, particularly from the Cardano community. This approach contributes to the expansion and diversification of both ecosystems.
- Marketing: Building a bridge between Cardano and Algorand will support cross chain marketing penetration and will open future marketing and growth opportunities for both Algomint and other ecosystem projects. We will engage KOL’s to promote comprehensive tutorials and the opportunities available to ADA holders coming to Algorand.