How to build a non-custodial crypto card on Loopring

Transcript

thank you for coming today we will speak about educard which is the only Layer Two decentralized the big card in the market and we will see how this product this payment tool is developed in the context of defy why we have chosen a loop ring as a technical solution what are the particular benefits and features of this product a brief introduction about myself my name is Michaela monteci and I Am project manager from edu and p network edu is a decentralized wallet that has

positioned himself as a gateway to defy a portal for defy this means that we have a natively integrated inside the app some important protocols such as Ave such as compound and also decentralized exchange that is a proxy to UNI swap balancer and other other protocols and now we have released the debit card and with this release we have completed our white paper from 2017.

p network is a cross-chain solution that moves liquidity from one chain to the other we have more than 10 blockchains integrated and more than 50 active Bridges this means that we are number one protocol for blockchains integrated and bridges are active and we have now uh 70 million 70 million inside the protocol tomorrow there will be a speech about p network from my colleague Andrea and I invite you to join uh we will see also how the card leverages

um Pina torque in inside the app so a brief look about defy and what is happening uh some key numbers uh so transactions as Bitcoin is staying more or less the same for the number of transactions ethereum is growing with a multiple factor of three in in the last three years and we can see that if Bitcoin is the money ethereum gives the infrastructure to move this money but actually if we add to ethereum transactions every transaction that is

happening in other blockchains that are ethereum-like or let's say connected to ethereum like for example binance smart chain you see it touched 10 million daily transactions or polygon 8 million or wobby chain or X die basically we come to 20 million transactions on a daily average and this is huge really really huge uh in the same time we can see that users have picked at the same level of 2019 so what does it mean it means that there are not so many users

the growth is not as the same as we have seen in the number of transactions and in the total value locked so we can come to the conclusion that users that are involved in defy they really like the products they really like the protocols they move money but this all world is not really well known aside of of us so total value locked in one year from September to July now we have gone from 7 billion to almost 70 billion with a multiple factor of 10 and

also another important number is the number of Bitcoin that are involved in the five protocols we have seen also here a multiply factor of 10 from 20K Bitcoin 20 000 Bitcoin to 200 000 Bitcoin and we are seeing the same also in our p network protocol we have we have gone with the same ratio this also has translated obviously in the growth of prices in the bull market so we we can say that Defy is boosting the growth and the prices and this also this is attractive

obviously so in this context we wanted to deliver a product that can solve some problems obviously the first problem is the centralization and we are all here for this reason we want the user to be owner of their funds of these funds we want to be our own bank yes but we want also to spend our crypto in our daily life because we don't want to be closed in a bubble we want to use our crypto for to buy everything but we want this to be economically convenient because there are other tools

that are running on layer one and we know that when ethereum is congested when uh when there are a lot of transactions especially when the market crashes or goes up and gas fees go they Skyrocket it's almost impossible to trade at least for the average user and also we wanted to offer a platform that is easy to use so a good ux so we came up with the educard which as we said it is the only decentralized layer 2 debit card in the market we offer three different levels

of card basic VIP and black card with different rewards different cashback rewards and we will see why this is important in the next few points what technology what protocol we used we used Loop ring that defines itself as a zero knowledge roll-up exchange and payment protocol is an ethereum layer to scaling protocol optimized to build the financial tools and products such as non-custodial anti amms or their book exchanges and payment applications on ethereum by leveraging zero knowledge proofs and ZK snacks in

particular uh the important thing of looping is that they can process 2025 trades per second compared to 30 of ethereum and that that they can store the looping account balances of chain in Miracle trees so there is no need for expensive token transfer on chain uh also another key factor uh key aspect of Lupine is that it is really secure and in the worst case scenario users can still withdraw their asset with Market proof that can be generated from neon

chain data so uh looping why we have chosen looping because it is super secure because it has a high throughput and obviously low cost because it is of chain so every transaction is uh really few cents and also uh because it was a necessity so at the time that we started developing looping was the most production ready environment so uh we we were in touch with the team we were collaborating with them and we we had a pool in the exchange and we started

developing with them today there are also other layer two solutions that are growing such as optimism such as polygonomatic as you want and we can even consider to move to different layers to Solutions in the future if we find a particular necessity for it now for uh it's important to say also that we are developing on uh looping 3.6 version now a quick look at the architecture of this tool

it is quite complex but is important to describe it and to see who are the different agents that are involved so on one side we have a wallet what that is the user interface and that makes easy for the user to interact with blockchain this is our mission then we have Edo IDE is our proprietary software to manage kyc procedure because you know when you interact with Fiat when you change crypto to Fiat and theater crypto you

need to have a kyc procedure in place and we are doing it with our proprietary software a do ID offers um details of the users like like name last name and the fact that they are verified to eduka educard API then we have ethereum which is the layer one solution and every user through edu wallet as a wallet on ethereum then we have looping which is the layer 2 solution for the transactions and then we have counties which is that is the Visa provider

so or four four five different entities also we have built our payment engine that is uh composed of two uh different uh systems one is the buffer account and the other one is the set of web books that is in charge for authorization confirmation and secure customer Authentication so we will see now our uh a card is created uh the user books a card how how he does it we we

said before that we have basic VIP and black card if the user wants to reserve a basic card they need to burn 20 PMT which is our token if they want to receive a VIP or black card they need to stake tokens so there are two different smart contracts one for the burning and one for the staking the one that is in charge of this taking then redirects the funds to our Dao the centralized autonomous organization and we will see after what does it mean so when the user books the card doing this transaction counties provide a

unique consumer idea that is a number and from this number a card wallet on ethereum is deterministically generated starting from that particular consumer idea so now we have a personal wallet and a card wallet and we need to create a an account on looping on the layer 2 solution let's see if if there is the video okay okay this is

the wallet you will see in the in this video that the user has no funds so he needs to receive pnt and he needs to receive ethereum in order to perform the transactions this is our wallet now he's sending to himself ethereum so we we demonstrated it is decentralized now the user will send to himself 2020

that are needed to to burn them and receive the card and book the card foreign s are inside the wallet the user goes to the card section in the wallet he decides to order a busy card he needs to burn 20 PMT

and by putting his local password he sends a transaction to ethereum okay okay so the card is booked now we need to create an account on looping how this is possible by making a deposit

so the user needs to do a deposit on looping account what happens um the this deposit event basically the user sent funds to a specific smart contract in our in our case is looping exchange V2 smart contract and looping relay process this deposit event that is generated from the transaction as an ID creation if it is the first deposit or as a normal deposit from the second time on so uh this clearly speak of us that everything is decentralized

so of here for example you can see my wallet my card okay uh on the 9th of June I've done my first top up you see that before this uh deposit there are no transactions okay so I've sent from my wallet to the smart contract defense of 0.5 liter and my account has been created then I've been around and done some expenses and after 20 days I've done a second Top-Up account okay

I've been in Sardinia I've done my expenses I put some money in and the balance is in looping account so other other important thing is that when I create the looping account and I put the funds a looping account I need also to activate my card how can I activate my card with the uh with using a one-time password and CVV code that are inside the card now that we have seen the infrastructure and how all the different wallets and

accounts are created we can check how a payment is performed so let's say that I want to go or to the grocery store and buy something I passed my card I pass my card and the answer that if the payment is possible or not must go must come in 2.5 seconds so counties uh first of all asks if this transaction is suspicious transaction or a normal transaction and if it is suspicious secure customer authentication starts the Web book is called and

it is asked on the front end to the user if it is really him that is performing that payment and he needs to assign basically to put the password and say yes I am the one if it is not suspicious can't this cause a do buffer account and ask him and ask it the user has enough funds a dual print API checks on bluepring if there are enough funds if if the answer is is yes contests can take money from the buffer account okay which is Fiat money

okay then counties calls authorization and Confirmation web books so that it is possible for us to take money from the loopering wallet of the user and periodically those cryptos that are collected are changed from crypto to Fiat and they are moved to the buffer account so now that we have seen our Lupine works we can look at another really important feature which is the integration of P tokens what does it mean that we are making Bitcoin and

Litecoin spendable on ethereum and this is quite unique our RP network works basically there is a trusted execution environment a secure sandbox that has inside of it uh no need to add two different blockchains when coins are deposited from blockchain number one they are stacked they are blocked and on the Chain number two uh the same number of coins is minted so uh applying this to Bitcoin in Litecoin we can have tokenized version

of them in to to be deposited in our card okay so uh using educard you can spend basically every token you can spend ethereum you can spend a stable coin you can spend Bitcoin and Litecoin and this is really really nice another important feature of this card and in this this is this is really linked to defy the centralized Finance is that every token holder is part of the Dow so when you book the card when you stick tokens to receive

cashback rewards you become part of the Dow okay so you are rewarded to use the card you are rewarded every time you use this this product but also through the dial you can be part of the decision process about the product and with edu network with p network you are rewarded even for that part so every time you vote every time you participate in the life of the Dao you are rewarded with uh with tokens but also every time you use the product you are rewarded

with the tokens because the smart contract is the same so um this is really important because you are participating to the life of the product you are the user of the product and every every everything you do makes you be involved with the company and this is really the power of the centralized Finance here you can see how the Dow Works how it is shown actually to the user in in the user interface wallet there is a

banner for the Dow you are you can see the balance of your pnt and you can add coins to your staking or you can remove and you can participate and participate in the proposals for example this user has received eight percent of of cashback and as received a notification that a vote is ready for him to participate Dow voting is open so I really invite you to download the app and try the card

thank you [Applause] if you have any question feel free