Request for Proposal
RFP: Terra Anchor — bLuna
Proposal due by: 2020/04/24
Company Name:
Project Overview
The Terraform Labs team has noticed that despite high returns for staking Luna (compared to Cosmos or Tezos), there has been a lack of staking by users due to the volatile nature of Luna’s prices. In light of this problem, Terraform Labs would like to design a solution where the initial deposit principal is protected.
In order to accomplish this goal, we will be looking for partners capable of understanding and implementing the bLuna token (a derivative token representing bonded Luna minus bonding costs) or the fungible money market. We will list the requirements for the former below.
Current Roadblocks to Success
- Unstable returns due to volatile Luna prices
- Lack of marketability and user-reach of product
- Lack of experience in retail banking space
Project Goals
Potential partners have quite a degree of flexibility in designing the product as well as the architectural/engineering requirements. Ultimately, we value unlimited creativity in the product-type but with solid reasoning based on user-centric experiences. Our potential partner should be able to full the following four functions required of bLuna.
- Minting: The partner/delegator should understand and functionally execute the minting process of bLuna by ‘locking’ a portion of their bonded Luna position (think bonding ratio).
- Burning: Opposite of minting, the delegator may relinquish their bLuna in order to regain the equivalent portion of their bonded Luna.
- Bonding adjustments: The partners should be able to effectively deal with any potential changes that can impact the underlying bonded Luna position. This includes but is not limited to changes in validator commission, slashing, andminting/burning taxes.
- Staking Rewards: Rewards from staking the underlying Luna should correspondingly be directed to the bLuna token as cash flows.
To create the above described bLuna position, this should rely on a Rust smart contract. For more details about the specific mechanisms, please see: https://agora.terra.money/t/anchor-principal-protected-staking-on-terra/196
Scope of Work
As the mission of this project is to provide an accessible savings-type product to users, the scope of work is quite broad. The chosen partner should have a strong understanding and/or interest in consumer financial products and services with marketable outreach to audiences that Terraform Labs has not tapped into yet.
- Product Definition: Potential partners should provide a draft of the product description as well as a rough business plan and/or go-to-market strategy. Moreover, any perceived potential roadblocks should be mentioned as well. Necessary support from TFL can also be added in this section.
- Schedule & Milestones: Potential partners should have an outlined action plan with rough timelines on both development and execution (ex. T+30 for business plan development, T+60 for development, T+120 for deployment, etc.)
- Reports: Partners will be required to submit periodic reports with data that is amenable to analytics and should provide any necessary updates to the ongoings of running the product.
- Deliverables: In rough chronological order, (1) a short business strategy plan, (2) a product definition/spec, (3) regular progress updates, and the (4) final product should be provided.
- End product: The most important part of this project is to provide users with an alternative financial investment vehicle that is both user-friendly as well as financially incentivizing.
Evaluation Metrics and Criteria
- Creativity and user-centric design of staking derivative product/service
- Carefully thought out operations plan that outlines necessary involvement from both the validator as well as Terraform Labs
- Stability and robustness of program against attacks gaining at the expense of other users with malicious intent
- Team with diverse experiences ranging from development to marketing and with a strong track record
Submission Requirements
- Brief description of company and core team members
- Description of product and/or service
- Outline of business opportunity and plan
- Outline of necessary resources including a timeline
Proposal due by: 2020/04/24
Company POC:
Email:
Phone #: (optional)
