| Smart Contract Vulnerabilities. Asset streaming is implemented in the blockchain with smart contracts. Due to vulnerabilities in smart contracts, the streaming module may be hacked and exploited with disastrous results by the users.Exploits can be found and abused even months and years after contracts have been deployed. |
External Audits. External Testers. Bounty programs. |
| Unexpected edge cases. Streaming currency is a new concept. Even if we have demonstrated it is possible, and we have a fully working and tested prototype, that which has been released on blockchain mainnet networks, functioning securely and efficiently as intended, we still require extending our protocol to make it commercially usable (introducing functions that mimic standard payments in commercial transactions). These functionalities increase the complexity of smart contracts and potentially increase the chances of a malicious attack or design errors. |
Any new code at the smart contract level will be audited by an external company and included in the bounty program. For the edge cases, we plan to do extensive testing with real money and mainnet assets in the production environment to make sure all the cases have been considered. CIO and CTO are already working and constantly updating a list of tests that need to be run after the code is deployed in production. Also, we will do several pilots with an increasing number of real users to be sure no edge cases remain before we operate at full scale. |
| System Scaling. Our system settles payments at the blockchain level. Our code is easily portable between EVM blockchains. Blockchains differ in their transactions per second, gas fees and scalability. Going forward, having a large number of transactions could become a problem. |
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| Transaction at a blockchain level may become very slow or extremely expensive, and our system may become unusable. We may have to move to other networks. This could involve moving to a non-EVM blockchain with the risks associated with porting the code. |
QA sessions and extensive testing. |
| Concept Failure. Even if we have already tested our base protocol, where a stream continuously flows from a sender to a receiver, our main target functionality (direct debit replacement) is far more complex and involves many other factors. In the direct debit replacement, the sender will authorize some operators to start and later adapt the flow from the sender to the receiver. This can be defined as a “backwards” flow. Even if we know this flow is possible in principle, we need to implement and prove it working. Failing the direct debit replacement implementation (or delaying it significatively) would potentially limit the success of Streamable Finance early on. |
Our software is built in reusable modules. These modules can be re-packaged in different solutions or be re-sold as white labels. This should limit the impact on a failed vertical/project since it should not impact the usability of all the other modules/solutions that can still be offered to third parties and generate revenue for the company. |
| Staff retention Streamable Finance project requires a specific niche of expertise in IT. This expertise and skills are challenging to find and are in high demand. The retention costs are high, and the shortage of skilled professionals forces the company to hire professionals from different jurisdictions, thus increasing hiring costs and introducing management difficulties. |
Setting up an incentivization package for the most valuable people to improve retention. Invest in training young engineers internally to create more backup and a core of expertise internally for future developments. |
| Budget overspends Variations in requirements, adaptation to new regulations, and increased cost of skilled people could end up with higher costs than what is estimated in the budget. The consequences are either budget reallocation in sub-optimal ways of raising money to fill the gap in the cash flows. |
Implement cost management software as a tool used by managers to plan, organize and manage resource tools. The software should help to control costs and ensure a project remains on schedule. These systems also provide a central platform for everyone contributing to the project to discuss updates and log their progress. |
| Weekly meetings are arranged between the different project leaders to access the output of the cost management system and correct the path or introduce mitigations. |
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| Regulatory Changes. New regulation in the crypto market, MiCA (Markets in Crypto-Assets), has just been introduced and can be changed in the next 18 months. |
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| Regulation interpretation and rapid changes could increase the costs of adapting our solution to the new regulatory environment and delay some milestones. |
A lawyer with extensive expertise in compliance and regulation has been hired. With a past experience as a senior employee of FINMA (Swiss Financial Market Supervisory Authority), he will keep an open channel with the regulator to be proactive in adapting the product and always comply with the law. |
| Customer Reluctance. Some potential clients could be reluctant to accept a new payment method because they could not understand exactly how it works and could be unable to perceive the advantages.A seamless solution and easy-to-use interface are mandatory to convince the more reluctant to embrace the new technology. This would increase the costs and the integration efforts. |
We are building an MVP with vendors that already have an existing user base. This will allow us to test and trial solutions to an existing user base, gathering real-world feedback. We will also test products with family and friends, representing a sample of the potential customer base in order to receive feedback and adapt the user experience. A marketing strategy focused on education will also be employed in order to highlight the benefits of the new money management solution and its positive impact on daily cash management and savings. |
