Codugh, an API marketplace that leverages the power of BSV to allow developers to earn money from calls made to their APIs, has announced a new token named CUSD for use on its platform. CUSD is transacted on the base layer of the BSV blockchain and is pegged to a stable fiat value of 1/100th of a U.S. cent.
The low fiat price of this CUSD token is critical for the Codugh platform, as the marketplace’s primary feature is the ability for API developers to earn money through micropayments enacted instantly over the BSV network. Because transaction fees on BSV are so low, this type of business model becomes viable and profitable for developers and the platform even when they are dealing with high payment volumes.
An API (Application Programming Interface) is essentially a piece of software which allows two different applications to communicate and transfer data, regardless of their differing protocols and internal data management methods. APIs are published along with a specification for their use, and they can be called from any other applications as long as the caller follows this specification.
Developers who build APIs can find it difficult to monetise their use by applications, which is exactly the problem Codugh aims to address through its marketplace and new CUSD token. Leveraging the power of BSV, Codugh allows developers to be paid a small microtransaction each time somebody calls their API – enabling them to earn money from their code efficiently and in a way that scales with adoption.
An exciting feature of Codugh’s CUSD token and upcoming fiat payment support is that developers will eventually no longer need to interact with the BSV blockchain at all, while it remains the underlying transaction network that enables this revolutionary business model.
To find out more about how the platform works and their plans for the new CUSD token, Bitcoin Association spoke to Codugh Co-founder and CEO Shashank Singhal.
Codugh in a nutshell
Codugh aims to combine the utility of a traditional API marketplace with the micropayment functionality of BSV, making it more efficient to pay for and earn revenue from API calls. It provides a marketplace and payment system which allows developers to be paid per API call instantly and in real-time, with each transaction recorded immutably on BSV’s publicly verifiable digital ledger.
‘The idea it aims to solve is that it’s difficult for software developers to monetise APIs, and they usually have to subscribe to legacy subscription models where they pay people per month for different sorts of calls. It’s difficult to pay people quickly and get quickly paid yourself as well for things you’ve built,’ Singhal says.
‘So, that’s the idea behind Codugh – it’s a payment system that deals with microtransactions and lets you pay per API call. If you’re calling someone’s programme, you will pay half a cent, or a tenth of a cent, or even less than that every time you call them, with the payments being completed instantly and in real-time.’
Singhal adds that Codugh is not a BSV business; they are building on BSV as it is the only platform available which offers the microtransaction capabilities they need at a scale and efficiency that is viable for their platform.
‘We’re a business that uses BSV to achieve our goals because it allows us to do something we couldn’t achieve otherwise,’ he says.
‘We needed something that could process really, really small amounts – half a cent, a tenth of a cent. We needed something where you could pay a fiftieth of a cent in fees for those payments, and BSV worked well for us.’
Currently Codugh’s API call prices are denominated in BSV, but with the launch of CUSD they will be priced in terms of the new token, which is directly relatable to fiat and therefore less volatile and more approachable to non-BSV developers.
CUSD and token API payments
CUSD is a fungible token that represents a certain denominational fiat value in terms of BSV. It is not a stablecoin or other asset-backed cryptocurrency, but rather a base-layer implementation of USD denominations on the BSV network. This allows Codugh users to express API call payments in terms of the token amount while continuing to transfer on BSV under the hood.
The token uses the STAS token protocol, which has been described as the solution to price volatility and the way to enable mass adoption of Bitcoin.
‘It’s a STAS token, which means that it’s written on the base layer of BSV in the scripting language itself. How that works is that essentially you come onto our platform, you can deposit some money and buy yourself some tokens. Let’s say you want to put in 10 USD. One CUSD is worth one hundredth of a U.S. cent, so you would get 100,000 tokens,’ Singhal explains.
‘You spend those tokens and Codugh will take its platform fee out of that, which is about 5% of an API call. We send tokens around in that way and then use on-chain transactions to transfer and split the tokens as needed.’
Following the launch of the token, users of Codugh will be able to transfer BSV onto the platform, purchase a number of tokens, and later withdraw their value in BSV from the platform if they wish. However, the team at Codugh is working on implementing fiat deposits and withdrawals in the near future, which will greatly improve accessibility and adoption amongst non-blockchain developers.
‘At the moment you need to deposit and withdraw BSV and that’s how it works. We will launch the token first, and then shortly after that we will launch fiat deposits, and then after that we will be doing fiat withdrawals. The goal is to have all three stages done by the end of the year,’ Singhal says.
Beyond the world of BSV
A key aspect of Codugh is that it is not aimed at the BSV industry but the software development industry as a whole. The platform uses BSV, but it views the network as its ‘plumbing’ and aims to offer developers an accessible way to market and earn money from their APIs without needing to interact directly with the blockchain – the same way traditional API marketplaces don’t require developers to manipulate Internet or digital payment protocols to use their platforms.
Developers with knowledge and an interest in BSV will still be able to interact with Codugh’s custodial wallet and buy CUSD tokens with their digital assets, but the vision for the platform is to make it accessible to all developers regardless of their blockchain knowledge.
‘There will be a BSV user flow and a non-BSV user flow. If you join and you don’t know what BSV is, then you don’t have to know and it will sit behind the scenes. But if you want to put in BSV, transfer that into tokens, use them and shift them back into BSV to withdraw, you can do that as well,’ Singhal says.
‘Another benefit of the token is that non-BSV users can use the microtransaction capabilities of BSV to transfer money back and forth without actually even realising that they’re using BSV at all and that it is powering the transaction under the hood.’
‘The biggest thing to emphasise is that the token allows non-BSV developers to use BSV without even realising it – it’s plumbing under the surface. We believe it will add to the user experience of the platform, and hopefully a similar solution could add to the user experience of every BSV platform and help us fix a lot of hurdles in that sense.’
Singhal hopes that the launch of this token, which is slated to occur by the end of October 2021, as well as the following fiat on- and off-ramps, will help boost developer adoption of the marketplace, as they have noted the requirement to buy, sell and transaction in BSV has been a major obstacle for non-crypto developers.
‘I think it will really help us accelerate our adoption, because a lot of the developers on our platform are non-BSV developers. It’s really great to just say, put in your credit card, get some tokens and use the platform, and that also opens us up to submitting more marketing streams and tapping into wider developer audiences,’ he says.
‘About fifty-five percent of the developers that have come through our platform so far have been non-crypto developers, meaning they may know what crypto is, but they don’t care or are really associated with it in any real technical way.’
Codugh aims to use its underlying BSV payment system to revolutionise the way API marketplaces function and developers are paid for the usage of their software, and while the BSV blockchain is integral to the underlying mechanisms of this service, knowledge of the protocol or even blockchain is unnecessary for developers and clients using the marketplace. With the launch of these new features, BSV can act as the silent infrastructure underneath Codugh, powering instant and efficient microtransactions and a unique business model that cannot be rivalled by traditional marketplaces or payment networks.
Singhal encourages developers of all denominations and expertise to sign up for Codugh, stating that they only stand to earn money from the APIs they have built, with no exclusivity or subscriptions required.
‘If you have an API, then you can come and monetise it. It is super easy to earn money from your API, there’s no exclusivity or anything to it,’ he says.
‘You can come and list your API, people will be interested in it, we can market it and make sure people will see it, and you’ll make money.’
Find out more about Codugh or sign up to monetise your API on the official website.