I don't think it sets a good incentive, as it makes the teacher focus on getting students to do money making projects instead of the project that maximizes learning.

One of the problems with traditional high stakes testing is that it incentivizes almost the opposite. It causes teachers to focus on what is traditionally considered 'learning", but ignores learning in a practical sense: Making sure students can use their knowledge in the real world, and are motivated to do so. I'd argue that using your knowledge to make money is in fact a good test for learning.

Do you have a suggestion for fixing the problem I mentioned that minimizes bureaucracy and provides proper incentives?