Welcome!

DashMoney - New Pay Contracts and Dash 2-Factor

Greetings,  Dash Platform is live on Mainnet. Congrats to everyone!

Before I dive into this proposal, I want to say something about the Decentralized Frontend (DashMoney.io) and Platform Mainnet Launch.

• The Decentralized Frontend was built to test and experiment with Dash Platform, because nothing like Platform has been made before. No one knows the best way to use it. And, I didn’t want there to be nothing on Platform when it launched. The launch was what the Decentralized Frontend was made for. Platform is for using and creating new possibilities. But having said that, in the last several months, I have turned toward a new path. The direction remains the same, “Dash as Money”. But the path is different from the Decentralized Frontend. So I am setting aside the Decentralized Frontend for now, but anyone can pick it up and/or launch it if they like. So if I put something else at DashMoney.io, don’t be alarmed. If you have your 12 words, you have everything. That is all I wanted to say, so onto this proposal and the new path.

As a reminder, my last proposal detailed the different “Approaches” and the use of Proxy Accounts(https://www.dashcentral.org/p/DashMoney-New-Approaches-Q3-2024). Early on with that work I realized, I had presented an incomplete picture.

So to complete the picture of Name Wallets and Proxy Accounts (Dash 2-Factor), I first need to present 2 new ‘Pay Contracts’ (Data Contracts for making payments for market exchanges.)

Motivation: Money is medium of exchange. Exchange involves 2 sides. To focus on just “sending” or “payments” is to only look at half the picture. How do we facilitate the entire exchange? The sending of the payment AND the sending of the good/service?

‘2-Party’ Pay – Facilitate transactions between 2 parties who are at a distance that don’t trust each other, but want too. They just need somewhere, they can meet in the middle.

How it works:

1. You sign into a Merchant Frontend with your Proxy account. You place an order to the merchant, let’s say for 2.5 Dash. The merchant then accepts the order and sends a payment request to “2-Party” Pay in a Name-Wallet.
2. Instead of the customer sending funds directly to the merchant, they form a multisig wallet together! The multisig wallet is a 2 of 2. This is where it gets interesting. You, the customer, send 2.5 Dash to the multisig wallet.
3. The merchant can then see in their Name-Wallet that you(the customer) have sent the Dash to the multisig, and the merchant can send the good or service to you.
4. And once you receive whatever you have ordered, you sign a multisig TX, so the merchant can then receive the 2.5 Dash.

Additionally: This is all just push button for the users. (e.g., Send Payment Request (Merchant), Send Dash to 2-Party (Customer), after receiving from merchant, Release Funds (Customer), and finally Receive funds (Merchant). It's straightforward.

2-Party Pay is not restricted to just online exchange, but also for property rentals as well or anything else.
(The version of 2-Party Pay that I intend to implement will be a public version. So TXs are public. There is a version that is more private and looks similar to Dash Pay with encrypted public keys. If there is a large demand for this functionality then more time and money can go into developing the more private version.)


‘Quick’ Pay – to facilitate the quickest and easiest way for a customer to create an order, the merchant accept the order, and then the customer pay the merchant. And its all on Platform, so there is no need for the wallet to finish loading prior to conducting the transaction.

This could be for something small like ordering a coffee or a meal.

User Experience:
You place an order on the merchant’s frontend with your proxy account. When the merchant sees the order, they accept it.
Then you go to your Name-Wallet and go to ‘Quick’ Pay. You see there is an order awaiting payment. You tap the order and hit pay.

What is actually happening: The customer and merchant don’t know that they are using NFTs. It just looks like orders and payment application details.

How it works:

1. The customer creates an NFT (Dash Platform Document) with the order data and the Dash Name connected to the Proxy Account, thus creating the order, and then transfers(NFT part) it to the merchant.
2. The merchant queries and sees there is an order and accepts it. The merchant is creating a different NFT, which has a price set to match the cost of the order, and has a property that references to the “order” NFT.
3. Finally, the customer goes to their Name Wallet and sees an order waiting for payment. This is actually the NFT created by the merchant. The customer is simply purchasing the NFT, and this completes the TX and gives them a receipt.

Additionally:
There is also a version of this where you can designate order-facilitators, so that multiple people can approve orders. This would make not only for quick transactions, but high throughput as well. Or there is a possibility of smart contracts facilitating orders also.

-End of New Pay Contracts-

So what value do these new Pay Contracts offer and how would someone use them?

This is where the Name Wallet and Proxy Accounts become much more interesting.

So for any market exchange to occur, 2 parties in an exchange must meet somewhere. The Approach #2 Frontends using Proxy Accounts are like the public areas where people meet with minimum risk.

So the entrepreneur putting up the frontend and their offerings is a large first step to starting a market exchange.
The customer then has a place they can interact with the entrepreneur. Proxy Accounts allow the customer to then inform the entrepreneur what they want.

Finally, the market exchange can move to the Name-Wallet, and the Name-Wallet is a distinct, neutral software(I think mobile or desktop) that only takes input from Dash Platform, so the customer and entrepreneur can meet as equals, and the new Pay Contracts are how the customer and entrepreneur work together to close the deal.

 The “2-Party” Pay and “Quick” Pay need a Name-Wallet. So what does a Name-Wallet look like and how do we get there?

******
So what does a Name-Wallet need:
1) DPNS “Name” Document and Proxy Controller. (Enable/Disable Proxy Accounts).
2) Ways to pay anyone.
3) Integrated ways to make the purchasing and order handling easy for the customer and the merchant.
******

What I did last proposal:

You can visit DashGetPaid.com and DashPayRentals.com to checkout the Approach #2 frontends.

If you want to use them as a customer, you have to sign in with a Proxy Account which you can create on the Approach #2 frontends. But you will need a Name-Wallet, because Proxy Accounts have to be connected to a name:



What I plan on doing for this proposal(estimates):

1) Create an implementation of “2-Party” Pay in the Name-Wallet at ProofOfDash.com (1 month)
    So you can just send “2-Party” Pay Requests to others and try out.

2) Pull orders placed by Proxy Accounts on other Dash Frontends (DashGetPaid.com and DashPayRentals) into the Name-Wallet and integrate the “2-Party” Pay into the order for ease of use.(2 weeks)

3) Move the Name-Wallet to React Native/Expo. So an Android and iOS App.(No Estimate)

Then going from there:

a) Add “Quick” Pay to the Name-Wallet like “2-Party” Pay. This would require heavy modification to a Approach #2 to actually use, probably would be a new, separate Approach #2.
 
b) Integrate encrypted messages into the orders in the Name-Wallet. (for shipping addresses, etc)


-In closing, I just want to offer some broader thoughts.-

This new 2-Factor with Name-Wallets and Proxy Accounts, say a dapp were developed as an iOS or Android app, you could easily use the Proxy Accounts for that too.

Dash 2-Factor allows for any developer to create an application that any user can login to with minimal risk, even if the most malicious operator were to run a website/mobile app the only thing that they could get is the proxy account with about 0.02 Dash of value. And a real merchant would value their reputation much more, and the internet would spread the information of a malicious actor quickly.

Dash 2-Factor is directly competing with a MetaMask-like approach, and I believe Dash 2-Factor is far superior. There is no 3rd Party API and 3rd party servers needed, you use Dash Platform directly for both sides of Dash 2-Factor. No Consensys is needed, it is completely disintermediated. And the data contract for Proxy Accounts is dead simple.

I think the path forward for people building on Dash Platform is developers creating frontends/mobile dapps and getting others to use them. So I will briefly describe 3 types and their different capacities

Opening Web3 Possibilities:

1. Full Platform – Inventory, Orders, and Payments like DashGetPaid and DashPayRentals (Requires Name-Wallet and Proxy Accounts) With full Platform usage, if a premade Dash Frontend fits a entrepreneur’s use-case, they can get started very quickly.
2. Order and Payments – Inventory is maintained by the merchant, so they have their own backend. Proxy Accounts are still used to place orders and the payments are done in the Name-Wallet. (Requires Name-Wallet and Proxy Accounts) I see this as where “Quick” Pay could be used more.
3. Payments Only – the merchant handles the inventory and orders on their own backend and the only thing you need to do is add your Dash Name to the order. (Requires Name-Wallet Only) This may be the fastest way to get people who already have online stores to accept Dash. I see this as using more “2-Party” Pay.