BancofBancof is a permissionless no-code loan pool generator designed explicitly for Web 3.0 native communities to help them sustainably utilize their treasury.
The Challenge
During the NFT craze, many Web 3.0 communities amassed substantial treasuries by selling NFTs. However, due to a lack of guidance on treasury management, billions of dollars remained dormant in these treasuries, needing more effective utilization. Some communities depended on their treasuries to sustain their operations; however, employing the common practice of distributing treasury funds as grants did not provide financial benefits to the community.
In response to this challenge, the Bancof team focused on enabling communities to swiftly establish internal loan services to generate revenue and offer better service to their token holders.
My Role
As one of the founding members and the only product designer, I was responsible for Bancof’s entire design strategy from start to finish. This work included leading the research process, developing a UX strategy, designing all screen interfaces, specifying interactions, and conducting user testing. In addition to my design responsibilities, I focused on creating a structure for managing the everyday chaos of an early-stage startup. This ranged from suggesting structured meetings for efficient time utilization to establishing an ideal sprint process for the product team.
Talking to Treasury Managers
I attended Metacartel's MCon 2022 to engage with community treasury managers and gain insights into their concerns.
Treasury management concerning the runway: Limited investment options.
Treasury tokens peg instability: Vulnerability to market fluctuations.
Voting process hindrance in urgent decision-making.
Lack of guidelines for treasury management.
Absence of optimized performance metrics for DAOs.
Challenges in transitioning from native tokens to SBT (Soulbound Tokens).
Need help utilizing treasury, even for those with a finance background.
Anticipated regulations could arrive sooner than expected and potentially have a positive impact.
Competitors
Many Web 3.0 products prioritize technology over usability, resulting in a steep learning curve for users. Consequently, most of our competitors cater primarily to the financially savvy or mere spectators.
Most existing NFT lending services carry the risk of devaluing NFTs if borrowers can't repay.
They often come with high interest rates.
What's advertised as 'instant loaning' entails a multi-step approval process, leading to delays in receiving funds.
These services typically do not offer financial benefits to the community.
Bancof
A secured,
easy-to-set-up
loan service
Guided Experience for Loan Set-up:
Not all communities have finance specialists; even if they do, launching a loan service can be challenging. I collaborated closely with Bancof's loan expert to design a step-by-step loan service set-up experience to empower our users and boost their confidence in managing substantial finances. We focused on delivering all the necessary information directly at each step, breaking down the process into smaller steps to ensure the users could comfortably grasp the details on every screen.
Bancof does not have access to the community’s treasury. We embedded a multi-sig feature so that only the treasury managers have permission to manage funds.
Instant Borrowing
Bancof's simple three-step process allows users to borrow money "instantly." Bancof is the only NFT lending service offering real instant loans because our automated system relies on preset parameters. Borrowers no longer need to wait for a lender's approval.
On-brand customization
The power of Bancof truly shines through its customizable white-labeling service. We aimed to empower our users to run a community-driven loan service under their branding.
Bancof Original Design
Bancof's simple and clean design, resembling a wireframe and featuring blue and gray as the brand colors, emphasizes its white-label nature.
Brand Focused Design
Users can apply up to four brand colors and upload a logo to personalize the entire product with their branding. This level of customization ensures that the community can operate the loan service with trust and confidence.
Community’s Original Branding
Results
After endless days and nights of hard work, the Bancof team successfully onboarded its first client, Planetarium Labs, a Web 3.0 gaming company, within a month of launching the MVP.
Takeaways
My time at Bancof was truly eye-opening, marking my initiation into startups and Web 3.0 technology. As one of the senior team members among a group of six, I took responsibility for guiding and coaching my colleagues on the importance of fostering an agile and open team culture. Working in a fast-paced startup environment presented daily challenges. Still, it was an invaluable experience that allowed me to embrace the roles of a holistic product designer, mentor, and entrepreneur.