Round 9

PLUTODAO

Leverage your wealth without risk of liquidation
$
48,500
worth of XLM on the day of pay-out*
worth of XLM on the day after voting*
Website

PlutoDAO, the natural evolution of blockchain-based loans, consists of loans that repay themselves with future interest without risk of liquidation, taking advantage of the speed and low fees of the stellar network.

pUSD has as linkage mechanisms, the pools for swapping and the liquidation of Treasury with pUSD or its basic equivalents (e.g. USDC), and the PlutoDAO DAO Treasury that will support developers and boost the value of PlutoDAO and the Stellar ecosystem as a whole.

In operation since

2021

Based In

Argentina

Stage

Startup

Products & Services

Traditional” DeFi / CeFi projects operate using an asset as collateral, if the price of that asset falls and is not enough to pay the loan, it is automatically settled: the lender keeps the collateral asset and the borrower keeps the loaned asset.

PlutoDAO implements a model where loans are a function of time: the borrower lends to himself and repays his debt with future earnings.


This is done by accepting any asset that can get a guaranteed-yield percentage (XLM, ETH, BTC, USDC, etc.).


PlutoDAO will work with third parties such as UltraStellar (and others that will be added in the future to minimize risk) to ensure future yields and to generate in the user the confidence that their investment is properly managed and protected.


PlutoDAO will use its own token (pUSD) which will have 1:1 parity with USD.


Users can take up to 50% of pUSD for their loans, this means that, if one user provides 100 USDC, PlutoDao issues 50pUSD as a loan and invests the 100 USDC in trusted third parties to earn interests.


To pay off debts, one can simply wait for a while until yUSDC (if we consider a 9% APY it would take about 5.5 years) generates the necessary return or it can be cancelled earlier by paying the debt with more USDC or pUSD, the platform values both at 1:1.


This makes pUSD a stablecoin backed by the future yield of yUSDC.

PlutoDAO invests the USDC reserve for a 9% APY, guaranteeing that the pUSD loan will eventually be repaid; PlutoDAO earns a 10% profit from this operation.


PlutoDAO aims to be a Decentralized Organization, in order to achieve that, it is currently working on a on-chain proposal voting mechanism, to achieve an auditable and transparent way of voting; while not originally intended this way, the team is considering open-sourcing the governance module for other projects to use.


PlutoDAO is looking closely at the development of Stellar Turrets and has started experimenting with smart contracts for decentralization.

No items found.

Goal & Budget

  • Finishing the V1 tokenomic model before January 2022
  • Finishing the MVP for the governance module before February 2022
  • Having the MVP of the loan platform in production before April 2022
  • Testing the MVP with at least 100 users for at least 3 months.
  • Starting production of the V1 loan platform before July 2022
  • Having at least 1000 users taking loans before December 2022
  1. Advancing with the development of the loan platform
  2. Closing the tokenomics model
  3. Dealing with UltraStellar and other third parties for return generation
  4. Defining the legal / tax model to formalize the company behind the platform
  5. Generating a community of users to test the platform

Our Request

For this first stage we are considering an initial budget of $48,500 to pay for the working hours of the team and to reach production in July 2022.

Progress so far

INDUSTRY AND MARKET RESEARCH

If we calculate the quotient between the market capitalization of both (ETH / XLM) cryptocurrencies, we can get the ratio (E-Ratio) that we are going to use to extrapolate the statistics and find the estimated potential market for PlutoDAO:


  * ETH Market Cap. of USD 482,990,704,748 / XLM Market Cap. of USD 7,909,868,611 = 61 (E-Ratio)

Now, considering Olympus DAO (OHM) as the leader of Defi 2.0 on the ETH Blockchain, having achieved a Total Value Locked (TVL) of USD 765,910,000,000. Using the previously estimated ratio of 61 (E-Ratio), the estimated TVL over the Stellar Network is USD 12,543,196,812. Considering 10% of that value, so as not to be overly optimistic, the projected TVL of PlutoDAO becomes USD 1,254,319,681.

THREATS AND OPPORTUNITIES

OPPORTUNITIES (+)

  • There is no PlutoDAO in the Stellar Network
  • It is a net positive evolution of a loan model that has great interest in other Blockchains
  • It is a great solution for the Latin American market, considering its not very stable economies and little access to credit
  • Innovation in financial services
  • Social trends

THREATS (–)

  • New technologies challenge the DEFI market
  • Regulatory pressures on different countries
  • Competition from outside the Stellar Network
  • Hacker attacks
  • Exchange rate fluctuations (especially in LATAM)

STRENGTHS (+)

  • Knowledge about the Stellar Network and previous experiences
  • Experience in the financial industry

WEAKNESSES (–)

  • Having little liquidity (initial fund)
  • Security leaks
  • Technological failures

COMPETITION

We consider traditional collateral-based loan protocols that evolve in the face of this new DeFi market reality as possible competition, but PlutoDAO will already have an advantage by being positioned as a leader in offering this kind of non-traditional loan.

MARKETING AND  SALES

Our strategy consists of 3 key elements:

  1. Generating trust in the PlutoDAO brand, creating alliances with already recognized third parties in the cryptocurrency ecosystem (UltraStellar, Nexo, etc.), in order to generate returns on capital.
  2. Socializing the platform, generating a strong and active community.
  3. Cooperating with similar companies in order to help our brand grow faster, increasing attraction of users and liquidity providers.


Every marketing activity will be digital, through influencer services on various social networks (Twitter, Facebook, Instagram, Medium, Discord, Reddit, etc.), using promotions (claiming of tokens) as advertisements, establishing strategic alliances with other projects in the Stellar Network, and finally carrying out community development: communicating regularly with members, promoting AMA style events or digital meetings using videoconferencing platforms.

Regarding active accounts on the platform, we consider an estimated growth factor in active user accounts of 2x per month, starting with 5 in July 2021 and ending 2022 with approximately 1,000. While developing the PlutoDAO Community that helps adoption of the platform.

No items found.

INDUSTRY AND MARKET RESEARCH

If we calculate the quotient between the market capitalization of both (ETH / XLM) cryptocurrencies, we can get the ratio (E-Ratio) that we are going to use to extrapolate the statistics and find the estimated potential market for PlutoDAO:


  * ETH Market Cap. of USD 482,990,704,748 / XLM Market Cap. of USD 7,909,868,611 = 61 (E-Ratio)

Now, considering Olympus DAO (OHM) as the leader of Defi 2.0 on the ETH Blockchain, having achieved a Total Value Locked (TVL) of USD 765,910,000,000. Using the previously estimated ratio of 61 (E-Ratio), the estimated TVL over the Stellar Network is USD 12,543,196,812. Considering 10% of that value, so as not to be overly optimistic, the projected TVL of PlutoDAO becomes USD 1,254,319,681.

THREATS AND OPPORTUNITIES

OPPORTUNITIES (+)

  • There is no PlutoDAO in the Stellar Network
  • It is a net positive evolution of a loan model that has great interest in other Blockchains
  • It is a great solution for the Latin American market, considering its not very stable economies and little access to credit
  • Innovation in financial services
  • Social trends

THREATS (–)

  • New technologies challenge the DEFI market
  • Regulatory pressures on different countries
  • Competition from outside the Stellar Network
  • Hacker attacks
  • Exchange rate fluctuations (especially in LATAM)

STRENGTHS (+)

  • Knowledge about the Stellar Network and previous experiences
  • Experience in the financial industry

WEAKNESSES (–)

  • Having little liquidity (initial fund)
  • Security leaks
  • Technological failures

COMPETITION

We consider traditional collateral-based loan protocols that evolve in the face of this new DeFi market reality as possible competition, but PlutoDAO will already have an advantage by being positioned as a leader in offering this kind of non-traditional loan.

MARKETING AND  SALES

Our strategy consists of 3 key elements:

  1. Generating trust in the PlutoDAO brand, creating alliances with already recognized third parties in the cryptocurrency ecosystem (UltraStellar, Nexo, etc.), in order to generate returns on capital.
  2. Socializing the platform, generating a strong and active community.
  3. Cooperating with similar companies in order to help our brand grow faster, increasing attraction of users and liquidity providers.


Every marketing activity will be digital, through influencer services on various social networks (Twitter, Facebook, Instagram, Medium, Discord, Reddit, etc.), using promotions (claiming of tokens) as advertisements, establishing strategic alliances with other projects in the Stellar Network, and finally carrying out community development: communicating regularly with members, promoting AMA style events or digital meetings using videoconferencing platforms.

Regarding active accounts on the platform, we consider an estimated growth factor in active user accounts of 2x per month, starting with 5 in July 2021 and ending 2022 with approximately 1,000. While developing the PlutoDAO Community that helps adoption of the platform.

No items found.

About the Team

Hernan Peralta

Developer

https://www.linkedin.com/in/hernan-peralta/


Julian Skalic

Developer

https://www.linkedin.com/in/julian-skalic-61114285/


Pablo Hazan

Developer

https://www.linkedin.com/in/pablo-hazan-a5225911a/


Martin Cayssials

Economics

https://www.linkedin.com/in/mart%C3%ADn-cayssials-389503183/


Federico Perez

Marketing Strategist

https://www.linkedin.com/in/fedeperezjacomet/


Nicolas Galliano

Designer

https://www.linkedin.com/in/nicogaliano/


Estanislao Villamarin

Community Manager

https://www.linkedin.com/in/lao-villamarin-557856148/


German Villamarin

Product Manager

https://www.linkedin.com/in/germanv/


Fabricio Leonardo Sodano

Tech Lead / Product Manager

https://www.linkedin.com/in/fsodano/


Miguel Rienzi

Marketing Manager / Product Manager

https://www.linkedin.com/in/kelocc/

*The USD valuation of the award in XLM is calculated using the CF Stellar Lumens-Dollar Settlement Price on September 27, 2021 as administered, maintained, and reported by the cryptocurrency index provider CF Benchmarks Ltd. (using the ticker “XLMUSD_RR”) (available at https://www.cfbenchmarks.com/indices/XLMUSD_RR)
* The USD valuation of the award in XLM is calculated using the CF Stellar Lumens-Dollar Settlement Price on the date of transfer as administered, maintained, and reported by the cryptocurrency index provider CF Benchmarks Ltd. (using the ticker “XLMUSD_RR”) (available at https://www.cfbenchmarks.com/indices/XLMUSD_RR)
*The USD valuation of the award in XLM is calculated using the CF Stellar Lumens-Dollar Settlement Price on December 16, 2021 as administered, maintained, and reported by the cryptocurrency index provider CF Benchmarks Ltd. (using the ticker “XLMUSD_RR”) (available at https://www.cfbenchmarks.com/indices/XLMUSD_RR)