Cypto Payments Vault Lotteries

This project aims to provide incentive greater adoption of the of Crypto payments for online, and real world payments. Typically debit and credit are subject to fees ranging 1-3%. With crypto using efficient layer 2s, or modern layer 1 chains, fees can be minimised. However, as consumers and merchants are already eating the cost of credit and debit fees in the name of convenience, these fees can be used in ways that benefit payers instead of large centralised banks and credit card companies.

When transacting with crypto a small %fee from transactions can be added to a yield bearing vault contract following the ERC-4636 standard. Once the vault reaches a preset total value, or a certain amount of time has elapsed, the value in the vault can be distributed in various mechanisms that benefit consumers and vendors instead of payment middle men. For example, a semi-random wallet selected (with odds of a wallet being selected proportional to the value contributed to the vault) can win a jackpot contain all, or a portion of the vault's value.

This incentives users to pay with crypto, and further incentives merchants to accept crypto as a way of encouraging consumer spending, with more overall economic value be transferred back to consumers and actual vendors with out middle men.

This project is made using basic solidity, in a hardhat environment. Currently no sponsor technology was used, but there the potential to use technology such as worldcoin, layers 2s like Optimism, Polygon, etc. to minimise fees.

Essentially there is a smart contract to control the vault, using the ERC-4636 standard. A payment contract will also be used to split transactions and add to the vault smart contract, and transfer payment from consumers to vendors as appropriate.

For a demo a basic NFT marketplace was planned, where users purchasing NFTs would contribute to the vault at the fixed rate. However, it unlikely this full functionality would end up being built out.