Safemart - Smartcash's instant automated liquidation platform for merchants which can be integrated with SmartPay and used standalone


#1

SafeMart

TABLE OF CONTENT:

  1.  SUMMARY
    
  2.  OBJECTIVES
    
  3.  ABOUT ME
    
  4.  THE PROBLEM
    
  5.  EFFECT OF THE PROBLEM ON MERCHANTS
    
  6.  SOLUTION – HOW
    
  7.  SOLUTION – WHAT ( INTRODUCING SAFEMART)
    
  8.  PICTORIAL VIEWS OF THE SOLUTION.
    
  9.  HOW IT CAN BE INTEGRATED INTO SMARTPAY  	
    
  10. WHY A STANDALONE VERSION IS NECESSARY
  11. HOW IT’S DIFFERENT AND BETTER THAN ANY OTHER EXISTING LIQUIDATING PLATFORMS LIKE PAYTOMAT.
  12. IMPACT TO SMARTCASH COMMUNITY
  13. IMPACT TO MERCHANTS AND BUSINESSES IN AFRICA
  14. A STEP ABOVE SMARTCASH COMPETITORS LIKE DASH AND PIVX
  15. WHAT WE HAVE DONE IN PREPARATION.
  16. ADOPTION PLANS
  17. COST BREAKDOWNS.
  18. F.A.Q (FREQUENTLY ASKED QUESTIONS

SUMMARY
A simple and fast way for merchants to liquidate their Smartcash to local bank account. Implementable with SmartPay or can be used standalone. Smartcash sent to X address gets converted and sent to Y local bank account immediately.

2. OBJECTIVES
To create an automated liquidation for merchant’s local currency providing volatility-proof application for merchants.
Simply, Merchants receives payment using SmartPay or Smartcard, opens SafeMart app or website, sends SMART to X address using barcode or manual input, the equivalent value of Smartcash sent to X address will IMMEDIATELY be sent to Y bank account.
KYC validation will be required for merchants to gain access for liquidation, and also for them to provide the bank accounts they wish to receive their payment to.

ABOUT ME
I’m Oluwatobi Akinpelu. An entrepreneur and reputable programmer with about 7 years of experience in web and mobile development. I lead the Phalanx team which won the first angelhack hackathon in conjunction with Consensys in Nigeria. I have worked for Google Developers Groups and Andela programs here in Nigeria for over 3 years. I currently work as a software engineer with Farmcrowdy – Africa’s best digital startup in Africa 2018, while also having vast experience in smart contract development, Machine learning with Firebase, Media players and live streams SDKs.
I also currently lead the forloop’s developers community in Ogun state, Nigeria, while also being part of the Blockchain community in Nigeria lead organized by reputable companies like Paxful, Seso global and uPort.
I have a solid experience in managing teams and being part of product development from start to finish. You can know more about me here: Linkedin profile: https://www.linkedin.com/in/androidmaven

4. THE PROBLEM
The primary reason why merchants are reluctant to accepting cryptocurrency generally is because of the volatility of cryptocurrency. A buyer could buy a good/service in a minute, pays for it using Smartcash and the next day the value of Smartcash to fiat changes. Merchants may lose valuable funds especially when liquidation is needed at a point when the value of Smartcash has depreciated. Majority of these merchants are not knowledgeable on how exchange sites works and having to go through that process is definitely A BIG TURN OFF as compared to them continuing accepting fiat.
We made a recent phone call survey of 50 merchants across Africa having clothing lines, restaurants, pizza shops, shopping malls and hair styling businesses to validate our hypothesis. 90% i.e 45 merchants out of 50 are willing to accept Smartcash, 42 merchants out of the 45 however raised the issue of volatility and how having to manually liquidate often could be strenuous and less efficient.
This shows that until we are able to solve the problem of crypto liquidity on behalf of the merchants, mass and genuine adoption might still be far away.
As of now

5. EFFECT OF THE PROBLEM
Smartcash adoption for merchants in Africa will require a gradual process. An entry strategy is first as a means of payment, and then as a private bank.
A larger population of businesses in Africa are the SMEs i.e. small scale and medium enterprises who are not yet accustomed to cryptocurrency. For these businesses to consider a new and better alternatives of what they are used to – there is need to provide a simple, easy and fast way to accept this new currency, ensure they don’t lose value of it due to volatility and can easily get this same equivalent of cryptocurrency to their bank account.
Existing most widely used way of liquidating in Africa
(1) SMARTCASH IN WALLET –> (2) SMARTCASH IN EXCHANGE SITE -> (3) TRADE FOR BTC/ETH -> (4) GOES TO ESCROW -> LOCAL CURRENCY SENT TO BANK ACCOUNT.
What Safemart do.
(1) SMARTCASH IN ANY WALLET -> (2) SEND SMART TO X ADDRESS -> (3) LOCAL CURRENCY SENT TO BANK ACCOUNT.

6. SOLUTION - HOW
To create a simple, easy platform whereby,

  1.   KYC of these businesses will be made – to ensure only merchants have 24/7 access to automated and instant liquidation.
    
  2.   A smooth interface where validated merchants can input the amount of SMARTCASH they want to liquidate and the bank details.
    
  3.   A check out page having barcode and manual payment address is being instantly generated.
    
  4.   As soon as the payment is confirmed in the block, the equivalent value of SMART sent to the local currency is instantly sent to the merchant’s given bank details.
    
  5.   A receipt of this transaction logged for users history, and a copy sent to the provided email address.
    
  6.   Support for merchants to handle enquiries and complaints should any arises.
    

7. SOLUTION – WHAT
We are building Safemart, a simple, easy and instant automated liquidation of Smartcash to safeguard merchants in Africa from volatility. Safemart will be available on both web and android platform as standalone – and is also being built in a way which can be implemented and plugged into the SmartPay app.

With a few-clicks merchants can easily convert their Smartcash to local currency directly to their designated bank account.

8. PICTORIAL VIEWS OF THE SOLUTION
(CURRENTLY ON-DEVELOPMENT PROCESS, WILL BE INCLUDED AS LINKS WHEN COMPLETED AND PROPOSAL PUBLISHED TO MAIN PROPOSAL).

9. HOW IT CAN BE INTEGRATED INTO SMARTPAY (Android).
After the app have been developed and tested working, we plan to work closely with the SmartPay developers in which SafeMart can be available as a library. After payment has been received using SmartPay or Smartcard -> A button added to the SmartPay (called e.g liquidate) -> Safemart library is been fired up and handles the rest of liquidation.

10. WHY A STANDALONE VERSION IS NECESSARY
Merchants can receive payment in diverse ways different from using SmartPay and Smartcard, it could be from a private transfer to merchants Smartcash wallet or existing Smartcash available in exchange sites. An easy way to get these funds in other wallets other received using SmartPay, is to provide a standalone website/app where they could send the SMART to, and receive local currency instantly.

11 HOW IT’S DIFFERENT AND BETTER THAN ANY OTHER EXISTING LIQUIDATING PLATFORMS LIKE PAYTOMAT.

  1.   Paytomat is not built to be plugged into Smartcash’s SmartPay application.
    
  2.   Target market is not optimized for S.M.Es in Africa especially in Nigeria and Ghana.
    
  3.   Paytomat will require you banking Smartcash using their platform to liquidate, Safemart does not store Smartcash.
    
  4.   Safemart provides instant liquidation for the countries supported per time, while it will take longer time for Paytomat to complete liquidation.
    
  5.   Safemart will include Smartcash’s brand to its design, Paytomat does not.
    
  6.   Use flow of liquidation is quite different, for Safemart is so much easier and straight forward.
    

Merchants do not accept smartcash because they can not easily transfer to fiat -Naira/ Cedis. Our solution will make this problem go away. We expect to sign up 100 number of merchants as a result. We are currently in talks with organizers and attendees of Cheetah Africa https://www.eventbrite.com/e/cheetah-africa-launch-fintech-and-blockchain-conference-2018-tickets-47987749651# and many other businesses

12. IMPACT TO SMARTCASH COMMUNITY
Nigeria and Ghana alone have over 200 million population and over 95% users of smartphones are on Android. Safeguarding volatility and liquidation for merchants in these areas can provide a massive adoption of Smartcash. The increased merchant acceptance of Smartcash will lead people worldwide or in accepted countries to buy and keep buying more of Smartcash on an exchange so that they can now purchase goods and services using Smartcash, therefore, leading to a massive appreciation in Smartcash’s value.

13. IMPACT TO MERCHANTS AND BUSINESS IN AFRICA
Thousands of merchants and businesses in Africa will be empowered by Safemart. Safemart respects your privacy. No government tax IDs or hocus pocus paperwork need be submitted. Merchants can now easily receive payments using Smartcash cryptocurrency without the worry of volatility. Whether in the office, shop or public transit – Payment can be made using Smartcash while safeguarding volatility!

14 A STEP ABOVE SMARTCASH COMPETITORS LIKE DASH AND PIVX

It is not a news to say there are existing major competitors like Dash and PIVX who may be closely monitoring the affairs of Smartcash. Both competitors all have their own POS systems, but None of them has grabbed hold of this technology that provides simple, easy and instant liquidation yet, due to no one raising proposals like this, lack of expertise etc. Enabling this technology will be one more step above Dash and PIVX.

15. WE HAVE DONE IN PREPARATION.
My team and I have the technical expertise to build this, and since the inception of positive reviews on the PRE-proposal we have started working on the general components like the intro, login and signups.
We had a meeting with the financial inclusion companies that will enable disburse the payments to local currencies for merchants like Flutterwave and Paystack, which resulted positive.
Meeting with a lawyer who will handle all legal issues.
Building this project will require us starting from own locality where we have immediate access to merchants which is Nigeria, however, with time we will extend to other African countries and then to other continents. But we need to start first.
WHAT WE NEED.
Community support: we need the backing of the community we want to promote.
Funding: Funding to proceed to make the project work.
Strategic bits of advice for execution.

16. ADOPTION PLANS

  1. Marketing.

  2. Trainings and events on Smartcash adoption across Africa.

  3. Partnerships with SMEs.

  4. Partnerships with Smartcash ambassadors to expand and execute adoption.

17. COST BREAKDOWN

  1.  Hiring of 1 (one) backend developer for 2 months. - $2900
    

This is the major need for a working Safemart: to handle KYC registration and login authentication to database, implementation of Smartcash value to the country’s currency conversion rate, auto dynamic address generation, receiving of SMARTCASH, auto validating of transactions, highly secured disbursement of funds, transactional log of all transactions, email receipts to merchants, systems security measurements e.t.c.

  1.  Hiring of 1(one) Frontend developer for 2 months – $2600
    

It’s a complex task to make complex functionalities looks simple: To create all front-end web pages (material design and responsive).

  1.  UI/UX Wireframing for both Android and Web and graphic designs- $750
    

To have a consistent look, a material and well-crafted design for both desktop, mobile and android view is highly required. Logo creation and other graphic needs.

  1.  Android developer (2 months) - $3200
    

(a) From a recent study, Android phones comprise of 95% of smart phones in Nigeria and Ghana, and internet usage has over 60% through the applications over web. A well-functioning, high standard android app version of Safemart is obviously important.
(b) Integration of Safemart with SmartPay android app requires android development aspect. Both for standalone and SmartPay integration.

  1.  Quality Assessment tests - $700
    

Many times before apps are released for testing, it needs to be tested for different user use patterns, standards, errors and bugs, design pattern consistency tests, speed tests e.t.c. This is an imperative aspect of production as any error after production can be costly.
6. Domain registration and hosting plans for 1 year on namecheap and Positive SSL – $39.43

  1.  Mailchimp email pro (3 months) - $597
    
  2.  3 hardwares for testing (Android phones and tablets of different OS versions and screen sizes - $520
    

Mobile phones has different sizes and resolutions which could affect the designs. Merchants will have different types of phones and tablets - It is therefore crucial to ensure devices to test these orientations and sizes for a consistent look across all devices.

PRODUCT RELEASE STAGE.
Team setup and contractual compensations for 3 months after development.
GOAL – 100 NIGERIAN AND GHANA MERCHANTS WITHIN 3 MONTHS AFTER DEVELOPMENT.

There is need for an active team members to advocate and maintain the system in both technical and non-technical ways

  1.   1 (one) Platform developer and support - $400 for 3 months  - $1200.
    
  2.   2(two) adoption advocates - $350/advocate for 3 months ($2100) –
    

Adoption advocates are highly required to market and continually reaching out for merchants to adopt both SmartPay and Safemart in Nigeria and Ghana. For it is not enough to build an application, but to drive usage also.

  1.   2(two) customer support - $350/customer support for 3 months ( $2100)
    

Customer support cannot be underestimated in any project. They are importantly needed to attend to enquiries, complaints. 1 out of many case scenarios is when funds transfer are delayed due to bank network issues or some unexpected issues.

ENABLING COST FOR TEAM MEMBERS

Transportation costs of adoption advocates: $250.

2 laptops, work desks and landlines for customer support – $415

Internet data subscription for customer support and calls credits for 3 months - $212

Merchants training/event for adoption - $500.

LEGAL SUPPORT - $400.

TOTAL COSTS: $18,484.43

18. F.A.Q (FREQUENTLY ASKED QUESTIONS)

  1. THERE IS AN EXISTING APP FOR SMARTCASH, HOW DOES THIS AFFECT THE EXISTING TECHNOLOGIES?

Safemart gives an additional important functionality for the technologies like SmartPay and Smartcards buy providing instant automated liquidation. Safemart can be integrated into the existing SmartPay app.
NOTE: Safemart is not solving bill payments as SmartPay and Smartcard already solved that. The issue is using Smartcash and merchants being able to exchange it for fiat with reduced volatility.

  1. SMARTCASH TECHNOLOGIES E.G SMARTCARD POINT OF FORCE IS ZERO FEES, HOW DO YOU MANAGE FEES ABOUT CONVERSION TO FIAT AND SEND TO BANK ACCOUNT?

Firstly, Safemart project does not in any way affect the models Smartcard or any existing Smartcash technologies. It is important to note that,
Majority of banks in Nigeria and Ghana charges very minute transactional fees. And online payment platforms also charges minute transactional % as low as 1% per transaction. We will deduct the transactional fee (which will be visible and transparent to the merchant during checkout) from the total amount to be sent to bank account.
E.G if transactional fee is 1% and user’s equivalent local currency in Naira (Nigerian currency) is #30,000. 1% of 30,000 – #300. Amount that will be sent to user’s bank account will be 30,000 – 300 - #29,700.

  1.  LICENCING: WILL THERE BE ANY LICENCE NEEDED ANYWHERE IN YOUR SOLUTION.
    

No, software technologies that will be used for Safemart are all open sourced. Those that requires premium payment are already included in the cost breakdowns.

  1.  DO YOU NEED ANYTHING FROM THE DEV TEAM, IF YES WILL THE SMARTCASH GITHUB REPO SUFFICE?
    

We have gone through the Smartcash dev documentations, we can work with what is available very well. However, for the implementation and integration of Safemart on SmartPay – I will need to communicate well with the Lead developer for guidance on how to integrate this feature. This requirement only comes after completion of Safemart standalone itself.

  1.  DOES VOTING YES FOR THIS PROJECT AFFECT THE STAKING REWARDS FOR THE EXISTING HODL STAKERS?
    

No, it in no way affects stakes. The effect it can break bring is to increase adoption of Smartcash. The more the adoption, the higher increase in the price of Smartcash.

  1.  WHY IS HIRING OF TWO CUSTOMER SUPPORT NEEDED?
    

Hiring of customer is highly important, because keeping in mind that over 70% of these merchants are not well knowledgeable on crypto, it is not advisable for business men or women in Africa to begin to start accepting any crypto without providing support for them. If merchants begins to accept Smartcash in Nigeria and Ghana, they will need people they can always call and talk to when they get lost using the system. This is necessary to support Safemart so as not to lose merchants interests.

  1. HOW IS THIS GOING TO BRING AN INCREASE TO THE PRICE OF SMARTCASH?
    The potential of this Safemart is massive to the price of smartcash. The level of adoption of any cryptocurrency is in two phases
    When cryptocurrency is used as a payment and exchange of value.
    When cryptocurrency are now being banked, which is the ultimate goal and purpose of cryptocurrency: To replace the existing banking system.

For smartcash to be widely used for purpose (1) in Africa, business who will accept payment must first be supported and provided with technologies that safeguards them from volatility. As soon as that is achieved coupled with marketing, customers starts to pay for goods and services with Smartcash. The more consumers buy Smartcash as a payment method, the higher the increase of Smartcash price. Even merchants themselves will be encouraged to buy smartcash for their own banking/trading. As more consumers buy Smartcash, merchants will with time reduce the rate of liquidation as an effect of the increase of price and with time.

However, we have to solve the most prominent problem for merchants first - safeguarding them volatility by providing simple, easy and instant liquidation of funds - that is what Safemart is for.


#2

Thanks for all of the detail.

Question for you. Can you provide a monthly anonymized report of daily volume once the project kicks off so that we can judge how the project is working?

Also, will it be broken up in the milestones so that we can see WIP as you are working on it? Example, not paid for Customer service till product is launched.


#3

Thanks for the question.

1: Yes, we can provide analytics. This will be taken account into while developing the database logic.

2.Yes, the milestone will be broken up into two 2 stages
a) product development
b) Product release, marketing and adoption.


#4

Thanks, one other question. The fee will go to the payment processor? Will you be charging any fee’s on top of that?


#5

We do not plan to include this at the moment, except when situation to self sustain the system arises or needs to scale the project when floating funds is not available. And if such occurs, I don’t for-see going beyond an extra 0.5 - 1%.


#6

Customer service may need to be in place before product launch to get them trained on the process and maybe start to onboard users just like new exchanges the get people and project before they go live.