ShardingDAO: Fragmentation function goes live!
We are excited to inform you that our Fragmentation function has launched on March 25th (SGT). Users can securitize and fragment their NFT (ERC721/ERC1155) into ERC20 Tokens and support the packaging and fragmentation of multiple NFT assets.
How does ShardingDAO work?
The shard creator can customize the way the asset gets split. This includes choosing the shard price, the type of crypto to subscribe to, and the minimum subscription price. In order to ensure the security of users’ assets, the platform has set up a White List of Subscription Tokens. Only the whitelisted cryptocurrencies can be accepted for the Subscriptions.
The default subscription time is 7 days. During this period, other users can subscribe at the lowest subscription price. If the Minimum Subscription Amount is not reached within 7 days, the subscription will fail, and so will the securitization. Otherwise, the subscription is successful, and the system will perform Shards and subscription token settlement:
- Shards: 90% — Subscriber, 5% — Original Owner, 5% — Protocol;
- Subscription Token: The Protocol deducts a subscription fee equivalent to 5% of the shards’ total value, and the remaining subscription Token belongs to the original owner.
Upon successful Subscription, the Shards will be listed in other DEXs and become available for trades in the secondary market, just like other homogenized tokens. This will release the secondary market’s liquidity and helps to discover the value of NFT.
Considering that one day users may want to obtain a complete NFT, ShardingDAO has set a Buyout Clause. Users who hold no less than 15% Shards (the Offeror) can propose a buyout, and other Shard holders will vote to determine whether the proposal is approved.
How are we different?
It is worth mentioning that ShardingDAO encourages users to actively participate in the governance of NFT, and provides users with an environment for discovering and developing the future value of NFT. Users holding the same NFT fragments can spontaneously form a DAO community and discuss the future of NFT together.
Different from the existing NFT trading platform, ShardingDAO combines NFT Fractionization, AMM, and DAO. In the future, ShardingDAO will be limited to the NFT trading of crypto art and collectibles and aim to become an IDO platform that supports the listing, issuance, and trading of any NFT assets.
What’s in the works?
We have lots of exciting Launches and collaborations in the pipeline, so make sure to keep an eye on our Twitter. Many improvements and new features are also under development and we’ll be sure to highlight them once they’re online. If you have questions, comments, or feedback, join us in Discord or Telegram. See you soon!