# Proposal Drafting

This is a space to begin drafting

## Joseph's Framing

In his path-breaking 1948 paper, Claude Shannon proposed a way to measure the amount of information in a digital message. His general communication system model, shown in Figure 1, links information source and destination with a network service, and he emphasizes that any such service will be a source of noise (Shannon, 1948)  An ideal noiseless system of communication may be imagined, but all tangible signalling system implementations depend upon “ways of transmitting the information which are optimal in combating noise” (Shannon, 1998).

Figure 1: Schematic of a general communication system. 

Evan Schwatz has described Interledger with a similar graphic, which he said operates as "routing packets of money across value networks like the internet routes packets of data between Internet Service Providers". In Schwartz’s illustration, a sender’s wallet sends packets that convey a message denominated in BTC to a Connector, which applies an exchange rate, and forwards packets that convey a message denominated in ETH to the receiver. (Schwartz, 2018)

Noise Source

e.g. exchange rate volatility & trend inflation/deflation

Xalgorithms has designed two methods for Connector to offer exchange rate noise reduction to payers and payees:

- An exchange rate noise-canceling algorithm calibrated to any user-selected real-world anchor for price in persistent framework agreements, from which contracts are instantiated on-demand.

- An exchange rate noise-reduction NFT depositary reciepts issued to creators or tangible increments to ecosystem integrity and resource availability, and exchangable for the issuer’s assessment of the aggregate undiscounted Ricardian Rent attributable to those increment.  

Schwartz, E. (2018, October 3). Interledger: How to Interconnect All Blockchains and Value Networks. Xpring. https://medium.com/xpring/interledger-how-to-interconnect-all-blockchains-and-value-networks-74f432e64543

Shannon, C. (1948). A Mathematical Theory of Communication. ACM SIGMOBILE Mobile Computing and Communications Review, 5(1), 3–55.

Shannon, C. E. (1998). Communication in the Presence of Noise. Proceedings of the IEEE, 86(2), 11.

## What is the working title of your project?

## Please describe your project in 100 words or less

## Who and what will your project enable?

## Why did you pick this idea to work on

## What are the specific milestones that you will achieve with this grant?