Proposal “DACH_BUSINESS_DEVELOPMENT_Q4_19“ (Completed)Back

Title:DACH Embassy || Business Development & Integrations Q4-19 || Exchanges || Wallets || Payment Service Provider || ATMs || POS solutions
Owner:DASH_Embassy_DACH
Monthly amount: 238 DASH (18394 USD)
Completed payments: 3 totaling in 714 DASH (0 month remaining)
Payment start/end: 2019-10-16 / 2020-01-13 (added on 2019-10-08)
Votes: 796 Yes / 182 No / 19 Abstain

Proposal description

DACH - Business Development Q4/19

Dash Embassy D-A-CH (www.dash-embassy.org) was founded on the 23rd of Feb 2018. In the beginning the project was about increasing visibility and awareness for Dash to build up trust in the D-A-CH region. Therefore we did a lot of PR, Roadshow Events (Meetups) and attended conferences. While doing so we learned a lot about our market and the crypto related mindset of the people in our region.

In the middle of 2018 we slightly changed our focus towards business development and integrations. The first step was a letter campaign contacting 350 BTC accepting merchants in D-A-CH region to make them accept Dash and to learn about the tools they are using and their experience with accepting cryptocurrencies.

Due to the outcome of this letter campaign and the attached phone survey we are now focused on integrations at FIAT Gateways like ATMs, Exchanges and Wallets and companies from the payment industry such as Crypto-to-FIAT payment services, traditional payment service providers, cashier systems and payment terminals.

We believe that integrating Dash into such multiplicators will increase the number of Dash accepting merchants significantly and in a cost effective way, as those businesses are onboarding merchants in their own interest. With continuous partnerships we ensure that Dash’s competitive advantages are pointed out.

We are part of Dash Co-Working (DCW) and we are inviting every other long term DFO to join us to share experience and learn from the other teams. For more details regarding DCW please have a look at: https://t1p.de/ttb7


1. Highlights from Q3/19
1.1 Integrations


1 Exchange due to integration at BTC-Alpha (Russian Exchange): https://trello.com/c/knrEYfR7/23-btc-alpha

250+ ATMs due to the integration at iQ CashNow ATMs (biggest ATM company in Europe): https://trello.com/c/0LJcjjRm/9-iq-cash-now  

1,000+ merchants due to integration at iQ CashNow POS solution (Austria, Spain, Greece, Italy, Turkey, USA): https://trello.com/c/4LMBiDCL/21-iq-cashnow-pos

36 adult entertainment platforms and other subscription based businesses due to integration at PumaPay (crypto-to-FIAT payment service): https://trello.com/c/KcGSDkr0/14-pumapay

Leading Portuguese football club and smartphone reseller due to integration at UTRUST (crypto-to-FIAT payment service): https://trello.com/c/62vz88Rg/2-utrust

Leading European online casino Whow Games with 9 million registered users, forwarded as a client to UTRUST: https://trello.com/c/Etd94Goj/15-whow-games

1 Dash Giftcard due to integration at CGift (digital an physical Crypto-Giftcards): https://trello.com/c/xvHl87Xa/33-cgift

20,000+ merchants and 60+ payment service providers due to integration at coinify (leading crypto-to-FIAT payment service in Europe): https://trello.com/c/8zLiIjt0/12-coinify


1.2 Events

We have been a Co-Organizer of www.dashconvention.com 

We convinced https://www.gs1-germany.de/ to organize a cryptocurrency day together with us on the 21st of January 2020 to connect our partners from the crypto-payment-industry (Salamantex, UTRUST, iQ CashNow, Coinify) with the traditional payment- and retail industry. 


1.3 Lobbying

Jan Heinrich Meyer (essra) was elected to be a board member of the blockchain working group of https://www.bitkom.org/EN , next to Med Ridha Ben Naceur (GFT Technologies), Elke Kunde (IBM), Boris Lingl (Datev) and Andreas Lipkow (Comdirect) - Bitkom is Germany’s digital association and represents 2,600+ companies of the digital economy. It’s mission is to establish Germany as a key driver of digital change in Europe. Therefore they are creating positioning papers for the government. https://www.bitkom.org/Bitkom/Organisation/Gremien/Blockchain.html 


1.4 Legal

We are in direct contact with BaFin (German regulator) to receive a regulatory classification for Dash as a unit of account and a certificate of compliance for PrivateSend. After several calls our BaFin asked for a legal opinion from our lawyers. Our lawyers are working on this right now.
We are also in contact with FinMa (Swiss Regulator) to achieve the same outcome.

This is needed to list Dash at regulated exchanges in Europe.


1.5 Further track record:

For further track record please have a look at our previous proposals:

https://www.dashcentral.org/p/DASH_Embassy_D-A-CH_Q1_18
https://www.dashcentral.org/p/DASH_EMBASSY_D-A-CH_Q2_18
https://www.dashcentral.org/p/DASH_EMBASSY_D-A-CH_Q3_18
https://www.dashcentral.org/p/DASH_EMBASSY_D-A-CH_Q4_18
https://www.dashcentral.org/p/DACH_Business_Development_Q1_19
https://www.dashcentral.org/p/DACH_Business_Development_Q2_19 
https://www.dashcentral.org/p/DACH_Business_Development_Q3_19 

and our Dash Watch Reports:

https://dashwatchbeta.org/r/FEB19/dach_business_development_q1_19 
https://dashwatchbeta.org/r/MAR19/dach_business_development_q1_19 
https://dashwatchbeta.org/r/APR19/dach_business_development_q1_19 
https://dashwatchbeta.org/r/MAY19/dach_business_development_q2_19
https://dashwatchbeta.org/r/JUN19/dach_business_development_q2_19 
https://beta.dashwatch.org/r/JUL19/dach_business_development_q2_19 
https://reports.dashwatch.org/SEP19/Embassy-DACH.pdf 


You are more than welcome to join our channels on Discord:

Dash Nation: #dash-embassy-dach  
Dash Talk: #dash-embassy


What will Dash get from our proposal for Q4/19?
1. Business Development
1.1 Strategy


We will be following our previous business development strategy from Q3/19. This means that we are focusing our activities on FIAT Gateways such as ATMs, Exchanges and Wallets and companies from the payment industry such as Crypto-to-FIAT payment services, traditional payment service providers, cashier systems and payment terminals.

For a more detailed description of our strategy and the reasoning behind it, please have a look at our proposal from Q3/19 which can be found here: 

https://www.dashcentral.org/p/DACH_Business_Development_Q3_19
 
Right now we are using LinkedIn as our #1 tool for b2b acquisition. It’s working fine, but it can’t replace the personal contact at trade fairs and conferences. This is why we will keep attending payment related events as regular visitors without any sponsoring. In addition we try to get speaker-slots from time to time. 


1.2 Integration Pipelines

To keep you updated in a transparent way we do live reporting for all our integration projects by using the kanban software trello. So please have a look at the specific integration pipelines and projects to get detailed information. Please have a look at the links below and feel free to ask us about single projects.

1.2.1 Exchanges/Wallets
https://trello.com/b/Jn3EuwVC/dach-exchanges-wallets

1.2.2 ATMs
https://trello.com/b/BdEj2A4s/dach-atms

1.2.3 Payment Companies
https://trello.com/b/abHCoAMU/dach-psps

Costs: Staff, Travel, Hospitality
Responsible: Jan Heinrich Meyer (@essra), Klaus Hipfinger (@simontheravager), Sinay Demirel (@sidem)


2. Consumer Activation Research

To become the most used cryptocurrency at the point-of-sale and in e-commerce we need to convince the crypto-community and no-coiners to actually use Dash as a means of payment. Therefore we will need to play an active role in social media and in point-of-sale marketing in future. Our partners from the crypto-payment-industry (Salamantex, iQ CashNow, UTRUST, Coinify) are willing to cooperate. 

To make those future campaigns at the point-of-sale and in social media as efficient as possible, we started to test some marketing messages in Q3/19, which were leading to a prepared landing-page: https://www.dash-embassy.org/get-started/ and our Telegram Group.

PrivateSend: https://twitter.com/DashEmbassyDACH/status/1173567166865707008?s=20
Privacy: https://twitter.com/DashEmbassyDACH/status/1171416064296718336?s=20
Banks: https://twitter.com/DashEmbassyDACH/status/1169229744489029637?s=20
ChainLocks: https://twitter.com/DashEmbassyDACH/status/1165921098959138817?s=20 

Even though these posts have been successful when it comes to reach and interaction in social media, the conversions and click-rates did not perform very well. This means that we need to improve to get satisfying results. We hope to be able to derive a B2C marketing strategy valid for Central Europe, which allows us to cost-effectively position Dash as the #1 solution for crypto-payments, but in our current setup we are not feeling capable of doing this. We will need to hire a full time marketing manager or work with a marketing agency to achieve this. 

To go on with the consumer activation research and for the final implementation of a marketing strategy, we will create an additional proposal so that the masternode network can decide, whether they want us to proceed in marketing activities and to take advantage of the opportunities offered by our partners (Salamantex, iQ CashNow, UTRUST, Coinify) or not.

Costs: Marketing
Responsible: Jan Heinrich Meyer (@essra), Sinay Demirel (@sidem)


3. Events

We will attend events for the payments and banking industry, which are free of charge or have a low ticket price or are connected to an invitation for Jan Heinrich Meyer (@essra) as speaker. We will try our best to acquire as many events of this kind as possible.

Costs: Staff, Travel, Hospitality, Marketing
Responsible: Jan Heinrich Meyer (@essra)


4. Lobbying

Suitable to our Business Development Strategy we are part of working groups about digital transformation, digital payments, Fintechs and digital Banking in the following associations:


Costs: Staff, Lobbying Memberships
Responsible: Klaus Hipfinger (@simontheravager), Jan Heinrich Meyer (@essra)


5. Website

We will keep our website and all included services up-to-date and constantly create regular news updates consisting of german translations of blog.dash.org articles and updates of our own achievements. New possibilities of accepting Dash by our partner businesses will be prominently featured to promote stronger business development also via our website.

Costs: Staff, Website and Tools
Responsible: Sinay Demirel (@sidem)


6. Social Media

We are using our social media channels for community updates, event announcements and merchant posts and for sharing German dashnews.org articles. 

If you want to subscribe to our channels, we will be happy to welcome you as a subscriber.

https://www.facebook.com/dashembassydach/
https://twitter.com/dashembassydach 
https://www.instagram.com/dash_embassy_dach/
https://t.me/dashembassydach
https://www.youtube.com/channel/UCuLSfeIMuQ_npjjBY3J_FPA
https://www.linkedin.com/company/dash-embassy-d-a-ch/ 
https://www.xing.com/companies/dashembassyd-a-chug 

Costs: Staff
Responsible: Sinay Demirel (@sidem)


7. PR

We are sending out German press releases whenever we have news to share. In addition we will keep up the work with DCG, DashNews and Shift Communication in DCW (Dash Co-Working) to bring international news into crypto related media platforms in DACH region and DACH news in international media.

For published articles please have a look at the projects listed on our public trello boards in the “done” section.

Costs: Staff
Responsible: Jan Heinrich Meyer (@essra)


8. Legal

While talking to regulated exchanges and Crypto-to-FIAT payment service providers we experienced the recurring need for an official statement about the regulatory classification and AML compliance of Dash by the regulatory entities of the corresponding jurisdiction.

Our lawyers from Germany are working on a legal opinion that we will be sharing with BaFin (German regulator) to get a regulatory classification of Dash as a unit of account and a certificate of compliance for PrivateSend. As BaFin is the most restrictive regulator in EU we believe that other regulators in our region will follow their opinion.

Costs: Staff, Legal
Responsible: Jan Heinrich Meyer (@essra)


9. Team

The team of three Jan Heinrich Meyer (@essra), Sinay Demirel (@sidem) and Klaus Hipfinger (@simontheravager) will persist in this constellation until further notice. 

Costs: External Accounting, Insurances, Legal Advice and Revisions, Office rent, supplies and IT-infrastructure, Staff
 

10. Financials

Budget requested for Q3/19:

166 Dash/month (estimated avg. Dash Price of $ 158,00) = $ 78.6k or € 69.6k (total in Q3)
Due to the decreased Dash price we received € 35.9k (total in Q3). 


Budget request Q4-2019:

https://lh6.googleusercontent.com/jdRCBpHjUpVV-8HJpd8-kMkjpujNd1pfBPyOHi1b1yjup_gnOkbPxFe9GsMVHDsS45WZUBznW2UOnP5-Tnw3NcqgFLf4KAnoNFtZe9PKfMp1R1FxIUPPBduomRXQ2RXnUvcStNIN


We use the 30 days SMA with an average Dash Price of $81,83 for the 4th quarter of 2019 on the 7th of October: https://bitinfocharts.com/comparison/price-dash-sma30.html#6m

We request the total amount with a volatility buffer of 15% for three months coming because of the risk of possible price fall backs.

Here you can find the Q4/2019 budget numbers in detail:

https://docs.google.com/spreadsheets/d/1YrNFLQpBM5Az6P4AkG6T7eBYuxtNzialorK-o7VSMTY/edit?usp=sharing


Links to our Liquidity and Capital Resources: 

DACH Business Development - Public Budget Planning and Accounting 2019:
https://docs.google.com/spreadsheets/d/1Oi0KG0LCGEhWOszO9b3QbExNHO1Ru6qJkS4XoOZ3l8s/edit#gid=1772385164

Corporate Wallet Address:
https://insight.dash.org/insight/address/XuMeunJDZrAusw45B4oreuH8RcKUY2fkMN


Thanks for your support! In Dash we trust! 

We are eager to read your comments and are thankful for your advice. 

The Dash Embassy D-A-CH Team

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Discussion: Should we fund this proposal?

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2 points,5 months ago
Dash Watch December 2019 Report on
DACH Embassy
https://reports.dashwatch.org/DEC19/Embassy-DACH.pdf
Reply
1 point,7 months ago
debate: there exists extremely low demand to pay with Dash in Germany/Europe
Reply
1 point,5 months ago
Law of economics: economies will not switch to a new currency if there is already one being used that is substantially less volatile.

So voters: this Germany merchant strategy is not going to produce currency adoption results beyond some Dash-enthusiasts paying with Dash @ these merchants.
Reply
1 point,5 months ago
First you said we are investment related, now you say we are doing merchant adoption. I think you really need to read again what it is that we are actually doing.

As said before, I'm absolutely open for every constructive advice, but your current behaviour doesn't help anyone.

If you want to have a usefull conversation, I'll always be available for a chat on discord, a video call or whatever else you like.
Reply
1 point,5 months ago
Voters: there is no consumer demand in Germany to switch currency products
Reply
2 points,7 months ago
for voters: possibility investment use case proposals are very ineffective. Evidence: the unit price is currently at 70usd, and even hit 62usd this week
Reply
1 point,6 months ago
DACH Embassy is our staple investment use case proposal. And our price is still at 68usd . Voters: Is this project really doing much to support our unit price?
Reply
0 points,6 months ago
May I ask you why you are thinking that our proposal is investment related?

essra
Reply
1 point,6 months ago
Germany is in high gdp per capita category. Plus exists no currency crisis, which would create a demand for alternative currency. Plus think link has been shared multiple times about interest&willingness to invest into blockchain assets: https://think.ing.com/uploads/reports/ING_International_Survey_Mobile_Banking_2018.pdf
Reply
1 point,6 months ago
Hello Currency_use_case,

regarding the ING survey: it says that 28% of the Germans believe that crypto is the future of spending money online and "only" 25% believe that it's the future of investment. The study also says that 23% of Europeans would use crypto to buy a coffee, 21% would use it to pay their monthly electric bill, 26% would use it to buy a plane fare and 30% would use it to make international payments.

However, I can understand your concerns. We are constantly working on improving our activities to serve Dash in the best way we can. That's why we are doing research on a regular basis. If you can help us by providing some numbers regarding investment in our region, I'll be happy to review those and consider to change our strategy. It might make sense to focus on both, payment and investment.

Looking forward to your constructive reply,

essra
Reply
1 point,6 months ago
OK. For Germany + Europe debate point that: we are not going to see much crypto spending any time soon. Why? because the incentive is not there--the Euro is working just fine for payments.

That people are not going to go thru the hassle of converting their Euros into Dash to just spend it (especially when all the stores already accept the Euro+the Euro is working satisfactorily for payments) . Tho, they might invest in Dash
Reply
2 points,7 months ago
UPDATE: our Partner UTRUST recently onboarded morefrom, an IT retailer from the UK. Due to this partnership over 200,000 products like computer hardware, TV-sets, smartphones and many more can now be bought online using Dash as means of payment.

https://medium.com/utrust/more-growth-for-the-utrust-ecosystem-with-new-independent-it-merchant-f86037a2f5d4
Reply
1 point,7 months ago
You got Dash some good (and large) integrations. Also this part looks interesting :

"Our lawyers from Germany are working on a legal opinion that we will be sharing with BaFin (German regulator) to get a regulatory classification of Dash as a unit of account and a certificate of compliance for PrivateSend. As BaFin is the most restrictive regulator in EU we believe that other regulators in our region will follow their opinion."

You have my support.
Reply
-1 point,7 months ago
What is the use case for Dash in Germany?
Reply
2 points,7 months ago
Hello Currency_use_case,

sorry for coming back to you this late. We see several use cases for Dash in Germany.

B2C: financial independence (proof of keys), privacy (speaks for itself), remittance (traditional services are expensive), investment & store of value (German banks are establishing negative interest rates) - it seems that those use cases, or some of them, lead to an interesting development regarding crypto adoption. for further information about the adoption of crypto in Europe please take a look at: https://think.ing.com/uploads/reports/ING_International_Survey_Mobile_Banking_2018.pdf

B2B: Dash payments (even when faciliated by a crypto-psp like coinify) have lower fees for the merchant than credit cards have and avoid chargebacks.

As you have only asked for the use case of Dash in Germany we might need to point out that our business development activities are not exclusively focused on the German speaking area (Germany, Austria, Switzerland). Most of the integrations we are doing are connected to payment companies, which are operating in almost every country in Europe and also other parts of the world.

Thank you for your question,

essra
Reply
0 points,6 months ago
1) traditional remittances are Not expensive when compared to the time cost of learning about Dash, how to buy it, how to store it, etc, teaching the recipient how to convert it back to fiat to be able to spend it in their country
2) Dash unfortunately is Not a store of value
3) yes merchants can save a little bit on tx than on credit cards. But then they end up paying More to switch the Dash back to fiat. And then there is the Additional cost of the merchants' tax filings being more complex if they accept Dash
Reply