The problem is the entire world's exchange of goods is still on web2. Meaning, businesses can't use web3 tech to leverage their most important assets, which is their products. A clear solution that can convert physical products to digital assets is needed to launch a web3 era.
The solution is a vehicle that can bring the exchange of goods to web3 and Comodi can do exactly that. Comodi is a Dapp that can digitize any product, onboard it to the decentralized web, and increase its earning potential using Defi and other methods.
It's designed to create new earning potential for businesses that produce and sell physical goods by converting them to digital assets using NFT's. Comodi smart contracts and Defi protocols increase the earning potential for goods sold and opens access to new revenues, lending, and capital resources for businesses, and more.
Comodi can digitize any physical product. Producers, wholesalers, retailers, and even private individuals can easily digitize their goods and convert them to an NFT. The NFT can serve as a standard bill of sale or purchase order, and can contain simple or complex metadata regarding the product and the order (ie; photo, SKU, quantity, product description, certifications, etc).
Who can benefit? Farming industries, manufacturing, wholesale, import/export, distribution, retail, and individuals across the globe can all benefit from Comodi.
Accessing high-yielding Defi for small and large businesses can revitalize struggling industries, sectors, local and global economies.
Defi your business. Decentralizing the exchange of goods can offer significant financial benefits to businesses through access to Defi. Introducing its high-yielding interest rates, borrowing, and lending capabilities, Comodi can help businesses across the globe realize new profits never seen by traditional banks.
The goal of digitizing physical assets and commodities has finally been achieved with Comodi. Our Dapp shows powerful, novel use cases for NFT's, such as replacing traditional business tools, ie; the purchase order, the bill of sale, shipping documents, etc.
Comodi is a perfect platform to integrate retail to web3. Retailers can digitize their stores and integrate NFT's used for sales, marketing, promotions, discounts, brand awareness, and more. Large enterprise marketplaces can integrate Comodi and begin to let their users digitize their goods.
Smart Contracts (SC) are the engines under our hood. Comodi will offer a suite of products powered by Smart Contracts and built to industry/sector/company-specific needs and standards.
For the Road to web3 Hackathon, we focused on creating the Farmers Smart Contract.
The farmer's problem: Farmers have limited access to new revenue and lending capital, while their market prices and profit margins are often undervalued, and narrow, respectively. This has caused decline across traditional farming sectors, instability in prices, worsening inflationary pressures, exploitation of farmers, their workers, and their land. The farming industry has suffered global decline and many of the solutions have been inadequate. Centralized banks offer low-interest earnings and as a caveat indentured servitude. Multi-generational farms are being sold, governments add heavy red tape, and often government programs and even non-profits designed to help the farmer indirectly make the situation worse. Farmers (like other industries) need access to new revenues, not more oversight. The Farmers Smart Contract does exactly that, by opening new earning potential for farmers through the use of Defi, without inflating market prices and creating instability. Many industries beyond just traditional farming suffer similar problems and Comodi could help to resolve their problems as well. The farmer's smart contract should be the new industry standard. It has the ability to unite producers and their wholesalers while leveraging their liquidity to realize new profits.
In our demo, we've replaced the traditional bill of sale (BOS) with an NFT. Like the BOS, the NFT is minted by the farmer when an order is created. This NFT is essentially a QR-Code that contains the metadata similar to that in a traditional BOS, ie; photo, SKU, quantity, product description, certifications, etc. This NFT is minted and then stored on-chain as an active order and displayed on the UI, while a physical copy is printed by the farmer and accompanies the physical goods (like a shipping label).
The function of the Farmers Smart Contract is to open new revenues and earning potential to the farmer. This is achieved by implementing a function of the smart contract that pays back a percentage of the increased value of the farmer's product during the future sale between a wholesaler and a buyer. The buyer initiates the sale on-chain and processes the order. The smart contract pays the farmer along with any wholesalers or intermediaries in the supply chain the values interpreted by the metadata.
At this point, the Farmers Smart Contract has ended but, has effectively opened a new revenue earning potential for the farmer as well as any intermediaries. Through Defi, we offer the farmer the ability to leverage those earnings even more.
Unfortunately, due to time restraints, we weren't able to implement our Defi protocols. With more time we would have created a high-yielding interest account for farmers and intermediaries to stake their earnings and increase their profit margins even more. We also wanted to include a factoring protocol to allow farmers to get access to capital when they need it as opposed to when they'll get paid.
The mass effect of decentralizing the farming industry and supply chains could:
Stabilize market variability and swinging inflationary pressures. Attract more farmers by increasing their standards of living. Higher standards of wealth = better access to health and education. Revitalize the farming industry (more competition= better quality and lower prices). Limit the exploitation of farmers, workers, and their land. New revenues can improve product quality, farming standards, and environmental well-being. Stimulate local economies and generate new tax wealth for municipalities. Blockchain solutions can streamline some supply chain processes, lower fees, and cost of overhead for many farmers.
The market potential for Comodi is global and across many industries, and sectors; from farming, manufacturing, wholesale, import/export, distribution, retail, and individuals. Our web3 solutions can be adapted to small and enterprise-level businesses.
Post Hackathon, we'll build Comodi 1.0 version and launch. Our goal is to partner with businesses and help them leverage their earnings to realize new profits by integrating to web3 with Comodi. We'll start with an E-commerce solution for web2 platforms and an agriculture product for farmers, expanding on the backbone of our Hackathon project.
Comodi is based on a scaffold example from Nader Dabit, that helped us very much to reach the final functionality. Smart Contracts we developed are deployed to the Polygon testnet (Mumbai) via Alchemy. We use hardhat that was part of the example code to both test and deploy. Application is developed on Next.js with ethers.js used to connect to smart contracts (using both Alchemy and Infura). It is deployed on Vercel, where all sensitive information is stored securely via the administration interface.
Big part of the UI relies on the Tailwind library. We also use Chainlink to get the price feed in order to display estimated prices in USD.