Revised Local Money proposal for the Kujira community

4 min readJul 19, 2022

lNTRODUCTION

Local Money (former Local Terra) is a decentralized P2P on/off ramp marketplace to help drive the adoption and use of DeFi among the masses by connecting people and technology in an easy and fast platform. We will provide a smart contract based platform, allowing users to exchange any fiat currency for tokens, eliminating the need of giving away the control of one’s assets while converting to and from fiat.

Centralized P2P exchanges such as Binance P2P, Localbitcoins and LocalCryptos are the main on-ramp to crypto in countries where access to crypto-fiat exchanges are limited. These services have more than 10M monthly visits and are most popular in countries like Argentina, Venezuela, Colombia and Pakistan. Estimation shows that volume on P2P platforms is around 20 Billion USD yearly.

(Source: Localbitcoins.com Traffic, Ranking & Marketing Analytics | SimilarWeb 34, Localcryptos.com Traffic, Ranking & Marketing Analytics | SimilarWeb 28, https://www.similarweb.com/website/p2p.binance.com/#traffic)

The challenge of adding value to Kujira motivates our team and we are confident that having a decentralized P2P platform native to the chain would bring great value to the community making it easier to onboard more users in a fast and reliable platform.

GRANT PROPOSAL

In the past months, after the Terra/market crash, we learned a lot and that only reaffirmed the necessity of building Local Money. We are here for the long term and we believe that the only way to succeed is to have sustainable growth. Kujira has the right vision, team and a strong community that will boost Local Money to the right path. In addition, returning to the Cosmos ecosystem also aligns with our multi-chain vision of giving broader access to DeFi and tokens to everyone.

We believe that taking money from VCs will deviate us from being community driven and decentralized. So we decided to send this grant proposal to help us build the Local Money protocol on Kujira.

This proposal requests 150k USD for development, deployment and support of the Local Money protocol in the Kujira Chain.

The protocol will directly help to increase activity in the Kujira network by being the easiest way to on-ramp from fiat to $KUJI. We are aligned with Kujira’s vision of sustainable growth, so having a reliable source of revenue is one of our main priorities. We will charge a 1% fee on every transaction that will serve to fund development costs in the long term.

Apart from enabling fiat on/off ramp as a native feature of the Kujira chain, 10% of the fees will be distributed as $KUJI staking rewards. Based on the total P2P market size, if Local Money brings 1% of the market share, we would be distributing approximately $200,000 dollars yearly to Kuji stakers.

GRANT MILESTONES

The funds will be released gradually in batches through governance voting as we complete each milestone.

Phase 1 (Testnet Demo)

Developer resources and testing

Migrate protocol to CW1.0
Listing and creation of Trade Offers
Escrow based trade lifecycle connected to Keplr wallet
Adapt protocol to semi-permissioned model
Instantiate protocol on Kujira Testnet
User testing / feedback
Infrastructure costs (servers, domain, services)

Phase 1 is already in progress and we have a post on medium with more details about Local Money launches demo on Kujira Testnet.

Phase 2 (Testnet — Feature Complete)

Developer resources and testing

Reputation system
Dispute resolution system
Encrypted communication system
Trading incentives
Infrastructure costs (servers, domain, services)
Notification

Phase 3 (Mainnet)

Release Mainnet

Community of makers for FIAT markets
Pre-launch marketing
Security Audit

TEAM

member 1 — coding since 15 (now with 32), working as software dev for the past 12 years. Directly working with crypto since 2017.

member 2 — 9 years of experience in the development and team management. Led 20+ team in two countries in South America.

member 3 — Biz Dev. Over a decade working as an entrepreneur and in high growth startups. Was one of the responsible for Uber expansion in South America and Southeast Asia and founded two startups, one of them over $1B valuation.

member 4 — Product Designer and Front-end, has been building digital experiences for more than 10 years working with some of the biggest companies in Brazil.