Cobudget Crypto: continuing the thread from the Network Convergence!
One of the main challenges with the current version of Cobudget is the fact that it often takes a lot of time and effort to design and setup a system around Cobudget for money to come in (to be allocated to buckets) and to flow out (when buckets are funded). In many cases this system needs to be quite different for each organization, depending on its regulatory environment, legal type, etc.
At the Network Convergence, a group of us had a conversation about a idea I’m calling “Cobudget Crypto”: when you create a new Cobudget group, you have the option to create a crypto group and connect a crypto wallet when you login. That means you can spend the funds in your wallet in the group, and buckets receive payments instantly in cryptocurrency when fully funded.
A quick anectdote on what sparked this idea: a person in another group I am running a Cobudget round with said that they thought it was too much of a hassle to donate funds to our Cobudget round, because they would have to physically go to a bank in the US and pay large fees (because this was a foreign bank account). They said: can’t I just end you some ETH?
Notably, this person is very active in the crypto space and feels very comfortable transacting in this world. Therefore we very clear about the fact that this feature would mainly be useful for a small niche, the crypto-friendly audience. The reason I think this could still be very valuable is that it could bring instant liquitity into a process that currently gets stuck at many steps, which could create a lot of new learnings about collaborative funding as a model for budgeting / funding (and how to then make this more accessible to broader audiences again in the next step).
Some of the questions we discussed
- What is the technical feasibility and complexity of this?
- Could this be built with a wallet that includes both Fiat and Cryptocurrency?
- What technical infrastructures could this be built with?
- Who are the right partners?
Where from here?
This thread is for continuing the great conversation we started at the convergence and defining potential next steps and how to best keep working on this with those who are feeling energy towards this (having a call, moving to a more fast-paced place to talk etc.).
Looking forward to hear your thoughts:)