ICYMI: a temperature check is live on snapshot! Snapshot
I agree having a new use case for 0x would be good. There are so many ways the 0x protocol and its products can be used and once this use case works, if the money is being given for marketing, it will help them promote this use case along with the 0x branding which is nothing but good for the protocol since it brings fresh eyes and might increase the adoption of this usecase as well along with the other already existing use cases.
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I would like to support Purple Pay also. I see that it can be a strong functional addition to the 0x Protocol. As Joao pointed out, I also would like to see a more detailed breakdown of each step of development with listed milestones that the development team would organize around.
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Thanks Patrick & Joao, here is the breakdown for how we plan the integration. It will have three compnents:
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Using 0x API for swaps: This functionality will be used to enable retailers to pay in any token while the merchant gets the desired token. While we build this, we have also been integrating biconomy gasless transaction. By the end of this integration we will have gasless swaps where user can in one step pay without thinking of which token they are paying for.
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Embedding 0x API in enabling private transactions: In order to ensure anonymity of the merchants we will be working on integrating with privacy protocols. So if a merchant wants to accept payments anonymously, this will act as a layer over it and enable 0xAPI’s to swap tokens and get the merchant tokens in a private way on Polygon POS.
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Embedding orderbooks: As we scale, we would want to give rate protection to our merchants so that for transactions which are bigger in volume and can create slippage issues, we would give the merchants the option to set limit orders which only get filled at certail levels and if the pool has poor liquidity with bad slippage, the mechanism will not allow them to swap and create an order which only gets filled when the conditions are favorable to the trade.
Hope this helps. We are more than happy to setup a monthly checkin to share progress and updates.
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Temp check was successful and very well participated in! If no objections, let’s quickly move to an on-chain vote so that the Purple Pay team can get the funding they’re requesting to continue to build out their product 
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hey @saxenasaheb , copying over the two main things that the community would like to see that came up in the Discord chats:
- more granular breakdown of plan you provided here ([Grant Request] Purple Pay - #24 by saxenasaheb)
- break request into two separate grants: one for technical implementation, one for marketing
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Thanks for this! Eric
And a big thanks to the community for their vote of confidence in Purple Pay.
It helped to be part of the Discord discussion and understand the concerns of the community better. We’re aligned on breaking the grant request into two parts.
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Technical implementation- 25k- Which we can move for the on-chain treasury vote
Here’s a detailed breakdown of the milestones- Product Roadmap Breakdown.pdf - Google Drive -
Marketing grant- 15k- Which we will move for an on-chain treasury vote once the technical implementation is complete.
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New snapshot vote for technical implementation of Purple Pay
Thanks for this proposal and response to many of the questions that came up @saxenasaheb! Appreciate you taking the time to walk through the proposal and go through governance here. Just coming in as a new delegate for 0x and I had a few questions.
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You talk about regulatory-compliant. Could you provide more context on what this means? At the moment your documentation isn’t clear on it and so it would be good to know what this would entail and how far along the process you are. Just want to flag that utilizing Chainalysis or TRM for your front-facing interface does not necessarily mean regulatory compliant as noted in the recent US Treasury report on DeFi https://home.treasury.gov/system/files/136/DeFi-Risk-Full-Review.pdf. Similarly, for on and offramps, how are you managing the compliance here as your front-facing interface would need to have appropriate legal language. If not, you could potentially open yourself to legal implications.
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Could you provide some more detail on your overall roadmap. It sounds like you’re in the development phase but any targets on expected number of users that you’re targeting and key partnerships to get these users?
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Bootstrapping a payment network can definitely be challenging. How would you use the $15K for bootstrapping growth exactly? You mention incentives but how will this operate? Will it be incentives for people to make swaps?
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Could you provide some key milestones that we could look at and follow as you build this out?
Thanks so much!
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Hey there @saxenasaheb, thanks for creating this proposal!
I’ve been following the recent discussions about your project and am quite interested in your proposal. However, I came across something a bit confusing that I hope you can clarify for us. We noticed that there are two distinct “Purple Pay” websites and companies:
Could you please shed some light on why there are two websites with similar branding and functionality? Are they both part of your work? Is this something you’re aware of and if so, is there any risk we should be aware of in relation to this situation?
Thank yoU! Looking forward to your response.
Cheers!
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Thanks for your questions, Nikhil. I was able to finally login so replying here in addition to the Discord server.
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Compliance:
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From a differentiator standpoint, we feel most payment product offerings failed to become mainstream because they weren’t completely compliant. As you rightly pointed out in the treasury report, Chainalysis and other firms can only help be partially compliant by flagging sanctioned wallets, terrorism financing etc.
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We’ve broken down compliance into 3 parts- AML, KYC/KYB/KYT, Region specific regulation adherence using our own compliance engine. For AML, we’re working with Chainalysis, KYC we’ve built our own tech on top of PolygonID, and for region specific compliance- we plan on building that engine geography by geography as we enter different emerging markets.
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On the legal implication piece- Yes, valid. We will, of course, have appropriate legal language be drafted on our website and for all our partners as we go live.
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Roadmap- Combining my answer to Questions 2 and 4 on roadmap and milestones here-
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Our roadmap on the product side is clear, we’ve made significant progress on this and you can find details here- Product Roadmap Breakdown.pdf - Google Drive
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On partnerships, we are currently working with a fund in Dubai and in conversations with other clients in emerging markets. Our target is to be at a $10 mil volume processed point in the coming 2 quarters. We’re also being supported by the Polygon payments team to help us find relevant partners across emerging markets.
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On the incentive piece, you’ll find our answers in the comments above. To summarize, we decided to hold off the $15k incentive grant till the product is in place and the 0x community feels confident about it.
Hope this helps. Let me know if you’ve further questions
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Yes, @acilia. Thanks for bringing this up. The first time I came across them I was quite surprised because of the coincidence in naming, branding, and the payment space in general.
However, once we dug deeper and consulted our lawyers on it. We found that they operate in a different space (non-crypto offering) and different jurisdictions for it to be a legal risk.
Historically, a large percentage of allocated funds in a grant program have been integrations. Looking at Aave’s Grants reporting in Q1 - integrations were 44.5%:
Purple Pay seems to fit into this category, expanding the use of 0x’s API to payments, private transactions, and a differentiated user base.
While this Grant request seems reasonable we have three primary concerns:
- The need for incentives programs, up to 15k
- The sustainability of direct-to-the-forum (and treasury) Grant requests
OP initially took this perspective and IMO it is dilutive, shifting the purpose of Governance towards a grants program vs. product development, finance, and sustainability…
Other teams have segmented this responsibility, allowing Governance to focus on more high-value, contentious proposals. It may be worth establishing some sort of guidelines:
- any treasury request above 50k goes to Governance directly
- anything less - goes to a sub-committee focused on Grant distribution
Even then, I am not convinced of the need for Grants in this stage of the protocol’s maturation.
The purpose of 0x protocol is to provide trade settlement for swaps - not to be Gitcoin.
Let’s focus on that goal instead.
Hey @fig , welcome I look forward to digging more into the more meta level topic you brought up about grants and its place within 0x Protocol right now - suggesting migrating that convo to the thread proposing updates to the grant lifecycle ([Governance] 0x Protocol Treasury Grants Lifecycle) to keep this forum post solely about Purple Pay’s grant request.
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Hey @saxenasaheb ,
I am behind your project.
From a business perspective, compliant payments utilizing existing exchange infrastructure make sense (both for you and 0x Protocol). With major players in your vertical (Plaid and Truelayer) having a strong geographical focus, there is a niche that you can exploit.
From an empathic perspective, our project benefited from the 0xEVE grant program and brought us forward tremendously from a product and business aspect. If you can draw on the expertise of the people around you, the connections you make will be more valuable than the capital you will receive.
Wishing you good luck on your project, and feel free to reach out anytime.
Cheers,
Koppany
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As indicated in my snapshot vote, I am voting to approve the development grant for $25k with the following comments: IMO the absolute cost is rather high for the work being proposed considering that API integration should be fairly straightforward and non-complex given the scenarios described. Generally, awarding grants for routine integrations would tend to set a bad precedent and I would be hesitant to support it. However, I believe the relative cost is acceptable given that there is some intangible value associated with developing a payments use case in underserved markets that mitigates the cost.
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GFX voted Yes, but with significant comments that can be read in full on our newly established voting history thread (where we will place all future voting communication as well).
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I’ve already given my “Yes” to this proposal earlier. But I like what the other delegates did here with also explaining their decision, so I want to summarize my decision too:
Purple Pay is ambitious in empowering all businesses to get paid in any currency. This aligns with my personal views and with the 0X DAO. I clearly see how 0x ecosystem can benefit from this since Purple Pay will increase taker flow (and later make supply as well if they do orderbook).
Looking forward to updates! Congrats again on the successful outcome of this proposal!
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