Red Envelope

Red Envelope

A fast, gamified, and socially engaging onchain token gifting experience using Frames on XMTP and powered by FHE on Inco Network.

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Built at ETHDenver 2024
Inco Network: Second Place
Red Envelope

Red Envelope

A fast, gamified, and socially engaging onchain token gifting experience using Frames on XMTP and powered by FHE on Inco Network.

The problem Red Envelope solves

Problem: While the user experience for onchain token transfers has undeniably improved in recent years, it remains somewhat mundane and lacks a meaningful social connection, particularly if the transfer is meant to be a gift or reward. In order to attract and onboard the next billion users to Web3, there is a need for a gamified and socially engaging experience that enhances the appeal of onchain token transfers.

Solution: The concept of red envelopes has existed for over 2000 years, predominately in East Asia. These envelopes will contain monetary gifts and serve as customary presents exchanged during social or family gatherings. The red color of the envelope symbolizes good luck. In recent years, the surge in online money transfers has spurred the digitalization of the traditional red envelope, transforming it into a commonplace practice in daily money transfers and social interaction. According to TechCrunch, in 2015, WeChat delivered over 1 billion red envelopes.

Our solution is to bring the lucky red envelope onchain, enabling a gamified, and socially engaging onchain token gifting experience. There are two main user flows.

A) Envelope sender:

  1. Input token address
  2. Input total amount to be distributed
  3. Input maximum number of envelopes available
  4. Click on create envelope

Under the hood, by using the Inco Network's native randomness function, the system will randomize the amounts to be distributed to each envelope at the time of contract deployment. The system also uses FHE to hide the randomized amounts so users can't know before claiming. In other words, if the total amount is 10 USDC and the max number of envelopes available is 5, then each envelope will distribute random amounts to each claimer but still sum to 10 USDC.

B) Envelope receiver:

  1. Click open envelope on Frame in XMTP
  2. If there is an envelope available, click on "I'm feeling lucky" to claim
  3. Check the claimed amount and compare it with friends!

Tracks Applied (4)

Impact & Public Goods

The onchain lucky red envelope is a public good that allows anyone to create and gift tokens in a gamified way and it wi...Read More

Pioneer Novel Confidential dApps

​We use the FHEvm to hide the values that are being distributed to red envelope recipients. This could be technically be...Read More

Inco Network

XMTP Open Frames

Our project specifically makes use of the XMTP Open Frames for sending and claiming of red envelopes straight in the mes...Read More

XMTP

Build Money into XMTP Messaging with USDC

The receiver of the red envelope will interact with the Frame to claim the funds (eg. USDC) from their connected wallet ...Read More

XMTP

Technologies used

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