As of April 2022, there were:
280 million Bitcoin users
25 million Ethereum users
4 million Solana users
22k UBX users

Usually, each crypto currency holder uses several wallets. Often, in order to effectively use them, a special wallet is needed.

This paper introduces and describes this special wallet, called Ubix.Pay. It is designed to perform three main functions:

-Receiving and sending payments via Social ID (e-mail, phone number, etc)
-Direct access to digital asset purchases issued via 4Tokens, which is part of the Ubix Network ecosystem.
-Management of BTC, ETH, and UBX wallets in one place.

As mentioned above, the number of crypto currency users is already exceeding 300 mln. The revenue of blockchain platforms (5) is expected to increase from 12 bn in 2022 to 199 bn in 2030. This, in turn, will lead to a large number of new-comers to the crypto industry. The main factors in choosing the crypto wallet, among others, will be the ease of usage as well as access to additional features.

As a result of the innovative features developed by Ubix.Pay, such as the payment mechanism via social ID and the initial issuance of digital assets directly from the wallet, usability will be significantly enhanced.

Ubix.Pay service is a lightweight wallet, designed with the help of Self-Sovereign-Identity (SSI), Digital Identity, and decentralised identificators. SSI - is a set of information about a person that can be managed, shared with any private person or public institution, and, importantly, with access to this information being revoked anytime at wish. Digital Identify - is the set of information about a person that is left on the internet, each time when: leaving a comment under a social media post, (Facebook, Reddit) video likes, (Tik Tok, YouTube) and registration on platforms.(Amazon, Lyft, Ubereats).

The simplest task of identification, namely, matching a person and their digital footprint, can be achieved by, for instance, sending a phone message or a push message in the app.This approach can be applied when a high level of trust is available, for example, in loyalty programs, where it does not matter who exactly uses the service: the user of the app himself or his relative. 

There are other instances where a more stringent check is required. For instance, in cases when one person should not be allowed to use the digital footprint of another. An example of a more stringent approach can be the authorization using biometrics (passing the liveness check, say a few sentences into the microphone, and so on). In other words, there are different types of identification, which differ in accordance to the degree of trust. (high - in a store with a loyalty card, small - in a bank when opening an account).

The volume of digital footprint is increasing each year, due to the fact that more and more services make their way on the internet. This accumulating supply of information, both about the person himself and his digital profile, requires the identification procedure to be simplified and standardized. Indeed, if a person has already been identified, for example, in a car sharing service, and the service itself shares the data with third parties, then it is easier to use an already existing identification service, instead of creating it from scratch. 

One of the widely used standards that made this possible to be realized, are the so-called, decentralised identifiers (DIDs). This is a type of identifier that provides a verifiable decentralised digital identity. A DID refers to any subject (eg. person, organisation, data model, abstract object etc.) defined by a DID controller. 

In a simplified interpretation, a DID document indicates what data can be used for identification, as well as, the address where it can be carried out. The service itself that performs the check is called the DID controller. 

It is the concept of decentralised identifiers that underlies the Ubix.Pay wallet. The implementation of this concept allows funds to be transferred to another user with the help of some public attribute (via the so-called social ID, see section 4 for a complete list of valid IDs). In the DID document, for each matching (mapping) wallet address and social ID, it is indicated which user registered it. The list of such matches is stored in the service database, so they become available when sending or receiving payments for all users of Ubix.Pay wallets. 

In terms of basic functionality, the Ubix.Pay app is similar to other online wallets, such as: MEW, Metamask, and Rainbow (3). However, it differs in that it supports not only ETH tokens, but others as well, and allows crypto currency swaps using the social ID. By default, the user goes through a simplified registration procedure only in the Ubix.Pay wallet. With this, in the event that the user wishes to gain exposure to other services of the Ubix Network ecosystem (4), registration for Ubikiri super app is available also. If the user already has an Ubikiri account, then access to Ubix.Pay is carried out via SSO, which stands for re-registration, is not required.

There are three main options for using Ubix.Pay service: sending and receiving payments, including by social ID, as well as buying digital assets issued within the Ubix Network ecosystem. 

When it comes to sending and receiving payments, they are relatively straightforward processes, similar to those of other crypto wallets. The essential difference between Ubix.Pay and other services is the possibility to send or receive a transfer via social ID, for instance, by nickname on Twitter. 

In what follows, we consider the option of exchanging digital assets as an example. Let's say a popular YouTube blogger opens a new monetization channel in order to expand the geography of payments he/she can receive, as well as to reduce the commission charged by the video hosting or by a third-party service, such as DonationAlerts. 

To monetize the blog, he decides to issue 10 tokens for, respectively, 10 personal birthday greetings. Tokens are issued by a separate app, 4Tokens, part of the Ubix Network ecosystem. Further, using the"Exchange" button in the Ubix.Pay wallet, the blogger offers these tokens for sale. Afterwards, owners of Ubix.Pay wallets who have enabled notifications about available tokens for purchase (exchange) receive purchase suggestions and a brief description of the digital asset. This way, the Ubix.Pay wallet provides the app with direct and instant access to initial token offerings for users of the service. 

There is an in-built free listing of digital assets on the Ubix.Exchange platform. Free listing is a key benefit provided by the Ubix Network protocol, considering that other exchanges, in most cases, charge a fee for listings. 

UBX, BTC and ETH coins, as well as ERC 20 and TRC 10 tokens are supported by the service.

The Ubix.Pay service supports wallets implemented according to the HD Wallet concept. 

Ubix.Pay wallet feature that makes possible payments via social ID, is accomplished with respect to the specification(1). In particular, specific methods for creating DID documents have been delivered (a JSON file of a certain format) as well as Resolving, which links the wallet address with the ID on a social network, and vice-versa. DID documents are stored in a dedicated council of the Ubix Network protocol. Ubix.Pay has direct bidirectional integration with Ubix, ETH, and BTC nodes, which allows you to get balance information, create new wallets, etc. 

The issuance of digital assets takes place on the Ubix Network platform in the 4Tokens service, outside the Ubix.Pay wallet.

The Ubix Network platform is coomprised of many nodes, each of which accepts the rules of one or more integrated blockchains. These blockchains are called councils. The nodes that have accepted the rules have the right to process transactions related to these councils. Among councils, on the one hand, there are those that serve user applications, and on the other hand, there are the so-called service councils, which are used by the platform itself.

One of the service councils is monetary, (Monetary consilium) having the function to process transactions in the native currency called UBX. Ultimately, the UBX token is used to pay commissions. The monetary consilium implements nodes that create blocks and receive rewards for this. The consensus algorithm is Proof of Stake. More details about the Ubix Network protocol, its advantages and development plans can be found in the corresponding Whitepaper (4).

The smart contract issuing tokens is tied to the monetary council. In the respective smart contracts, all transactions with tokens will be processed. For instance, transfers of tokens from one crypto wallet to another. Tokens have the TRC10 (7) standard, and after issuance they are immediately deposited to the customer's wallet. The wallet itself will be equipped with a business logic designed to send notifications to other Ubix.Pay customers about the availability of a new digital asset for purchase.

Unlike a range of other crypto wallet solutions (ex. Coinbase) that keep the seed-phrase on the server, Ubix.Pay is a self-custody wallet. The seed-phrase on Ubix.Pay wallet is kept in a special application storage on the user’s app. Thanks to this approach, the user can unload his/her private key and seed-phrase anytime, and then save it, in both electronic and paper form.

As was mentioned above, the expectation is that by 2030 the number of blockchain users will increase 20-fold in comparison to 2022. Therefore, taking into consideration that in 2022 there are already more than 300 million blockchain users, by 2030 that number could surge to 6 billion. Obviously, not all new-comers will have crypto wallets. However, it should be expected that their number will as well grow by 20 times. In other words, the market for crypto wallets is on its upward trajectory, and new projects entering this market have all the chances to significantly raise their customer base.

In the case of the Ubix.Pay wallet, the number of non-zero wallets as of the beginning of 2022 is about 22 thousand. There are expected another 50-100 thousand new users over the next 2-3 years. In fact, the figure is likely to be much higher, since the plans (see section 7) include the deployment of additional innovative features, which will undoubtedly attract additional users already in 2022 and 2023.

Let's consider the unit cost of a wallet, based on the figures for Metamask, which is one of the most popular wallets out there. According to market valuation (6), (for this purpose we can take the market cap as the most appropriate indicator), which is 7 bn US dollars with 21 million users, resulting in 300 US dollars per wallet. Therefore, in terms of the potential fundamental valuation of the Ubix.Pay project with 100 000 users, will amount to 30 million US dollars.

In order to launch and promote the project, 1 million tokens are planned to be issued. Based on the current number of users, the estimated value of the project is 6-6.5 million US dollars, with 6-6.5 US dollars per token.

The issued tokens will be divided into two parts. 30% of the token supply will be distributed among the team members, and 70% will be offered for purchase to investors. Due to the limited release, (fixed-supply-token) the issuance of tokens will be gradual, in accordance with the implementation of all announced features. The first stage is proposing to release 200 000 tokens to the market. For this purpose, the Ubix.Exchange platform will be used. The listing of tokens on the platform guarantees potential investors the secondary market for trading.

There are two sources of income generation for token holders:

-Commissions from transactions. (the size depends on the type of the wallet)
-Commissions from initial token offerings via the Ubix.Pay wallet. As the estimates show, the size of the commission will be about 5 to 10% depending on the project. It is worth noting that this additional source of income will be supported by a free listing on the Ubix Exchange platform. This constitutes a strong competitive advantage, considering that the cost of listings on other exchanges starts at tens of thousands of dollars. This factor can be decisive for new projects that decide on what exchange to be listed.

The development of the project is planned by attracting external funding through the issuance and sale of Ubix.Pay own token. Below is a quarterly list of features to be implemented in upcoming releases.

Ubix.Pay launch and its integration with Ubix.4Tokens service for issuing digital assets. 

Integration with Ubix Depositary (also known as Swap) which allows you to pack/unpack tokens. This service will permit you to pack Ubix Network tokens and coins into another format, such as ERC 20. It is the so-called system of economic connection with other blockchains. 

Integration with Ubistake. This service allows users to receive passive income through deposits. Users buy coins and place them on a deposit (staking). Then, with these coins, a witness node is bought, that is, the one that produces blocks.

According to forecasts, the revenue of blockchain companies will increase 5 fold by 2030 (5). Crypto wallets development is the most dynamically expanding segment in the blockchain industry. This leads to the conclusion that companies engaged in this niche of the blockchain industry are best positioned.

In order to better depict the profitability of investments in cryptocurrency wallet development, we can consider the capitalization of such companies, as above and below the curve. The most appropriate benchmark for this purpose is the market cap of the crypto market. Therefore, considering that the market is growing, even companies that perform below the curve are still, in most cases, profitable.

As the market for crypto wallets is steadily growing, we can expect a significant increase not only in capitalization, but in the number of companies joining this market. This will result in a high degree of competition between them, which will inevitably result in more innovative features being developed.

One of these features is management of personalized information, as users have become much more cautious about their data. For instance, more than 95% of iPhone users who downloaded the iOs 14.5 update with the option to turn off data tracking, have chosen anonimity (9).
Facebook estimates that personalization is 50% of its advertising, which means that anonymity is a precious commodity which has a high price.
In the case of Facebook, the expected loss of revenue due to customers that want their data to be anonymous is around 10 billion dollars for 2022.

Another important feature of the Ubix.Pay wallet is the free listing of digital assets on the Ubix.Exchange. It is of outmost importance to mention that the competitors of Ubix.Pay either do not offer the possibility of issuing digital assets directly from the wallet, or do it for a significant charge. Precisely, this factor could be considered as the decisive one in selecting Ubix.Pay wallet
as the cost of listing is significant for most projects that plan to issue their tokens.