ƒ-tokens
ƒ-Tokens - Fractional Ownership Tokens
The ƒ-tokens are the heart of the404.io's fractional ownership system, enabling users to own and trade fractions of high-value NFTs. These tokens are ERC-404 compliant, ensuring compatibility and ease of integration within the broader DeFi ecosystem. Each ƒ-token corresponds to a specific NFT collection, making it easier for users to invest in and trade pieces of their favorite NFTs.
Key Features of ƒ-Tokens
1. Fractional Ownership:
Accessibility: ƒ-tokens allow users to own fractions of high-value NFTs, making premium digital assets accessible to a broader audience.
Market Participation: By owning ƒ-tokens, users can participate in the value appreciation of high-value NFTs without needing to purchase the entire asset.
2. Liquidity and Trading:
Increased Liquidity: ƒ-tokens can be traded on the404.io platform, providing liquidity for assets that would otherwise be difficult to trade.
Pairs with $FOF: All ƒ-tokens are paired with $FOF for trading, ensuring a seamless and liquid market for fractionalized NFTs.
3. Specific Collection Representation:
Unique Tokens: Each NFT collection has its own specific ƒ-token (e.g., $ƒBAYC for Bored Ape Yacht Club, $ƒAZUKI for Azuki), allowing targeted investment in specific collections.
Indexed Value: The value of ƒ-tokens is indexed to the underlying NFT collection, providing a clear and transparent valuation.
4. Staking and Rewards:
Earning Potential: Users can stake ƒ-tokens to earn rewards, incentivizing long-term holding and engagement with the platform.
Liquidity Provision Rewards: By providing liquidity for ƒ-token trading pairs, users can earn additional $FOF tokens.
5. Governance Participation:
Voting Rights: Holders of ƒ-tokens can participate in governance decisions related to the specific NFT collection, ensuring that the community has a voice in the management and development of the collection.
Utility and Use Cases
1. Investment and Trading:
Diversified Investment: ƒ-tokens allow users to invest in fractions of multiple high-value NFTs, diversifying their portfolio and reducing risk.
Ease of Trading: Trading ƒ-tokens on the404.io platform is straightforward, with transactions facilitated through $FOF pairs.
2. Access to Premium Collections:
Exclusive Access: Users can gain exposure to exclusive and high-value NFT collections by owning ƒ-tokens, which would otherwise be financially inaccessible.
3. Staking and Yield Generation:
Staking Rewards: Staking ƒ-tokens provides users with rewards, incentivizing long-term participation and enhancing the value proposition of fractional ownership.
Yield Farming: Users can participate in yield farming by providing liquidity for ƒ-token trading pairs, earning additional $FOF tokens in return.
4. Governance and Community Involvement:
Community Governance: ƒ-token holders can vote on proposals related to the specific NFT collections they own, fostering a community-driven approach to collection management.
Tokenomics
1. Total Supply:
Dynamic Supply: The supply of ƒ-tokens is dynamic and based on the fractionalization of NFTs within each collection.
2. Allocation:
Fractionalization: When an NFT is fractionalized, ƒ-tokens are minted and distributed to the NFT owner.
Liquidity Pools: A portion of ƒ-tokens is allocated to liquidity pools to ensure market liquidity and facilitate trading.
3. Vesting Schedule:
Collection Setup: Depending on the collection setup, 20% to 50% of ƒ-tokens allocated to NFT holders who place NFTs in the vault or own NFTs from a migrated collection will be automatically staked to ensure liquidity. The vesting period varies based on the collection setup.
Immediate Liquidity: A portion of ƒ-tokens is immediately available for trading, providing instant liquidity on the404.io platform.
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