🎴Fractionalized IPs - ERC-404
Overview StoryHunt introduces a 404-compatible liquidity pool to facilitate the trading and ownership of fractionalized IP tokens. This feature stems from the ERC-404 standard, popularized by projects like Jutsu World 404, enabling tokens to be both fungible and non-fungible. As a result, users can hold partial stakes in unique IPs—ranging from gaming assets to digital collectibles—while enjoying the liquidity and ease of traditional token trading.
Fractionalized IP Tokens in a Nutshell
Fractional Ownership Instead of owning an entire token, users can hold a fraction of it, allowing more people to invest in high-value or exclusive IP.
Enhanced Liquidity By creating fractional tokens, these assets become more liquid and tradable. Users can buy, sell, or swap smaller fractions easily.
Broader Access Fractionalization lowers entry barriers for IP enthusiasts—especially when dealing with potentially high-priced tokens or collectibles.
The 404 Connection
ERC-404 Standard A next-level standard that merges elements of fungible and non-fungible tokens, supporting advanced mechanics such as partial ownership and bundling of assets.
Jutsu World 404 A tactical trading card game pioneering this standard. Jutsu assets are fractionalizable, and the 404-compatible liquidity pool allows these fractional pieces to be actively traded and farmed for additional yields.
How the 404-Compatible Liquidity Pool Works
Fractionalize the IP
A token or unique asset is split into multiple tokens via the ERC-404 protocol.
Create or Join a Liquidity Pool
Liquidity providers deposit the fractional tokens and a pairing asset (e.g., USDC or IP) into a 404-compatible pool on StoryHunt.
Trading & Fees
Traders can buy and sell fractional tokens in smaller increments, increasing overall volume.
Liquidity providers earn a share of the trading fees generated in that pool.
Why Use a 404-Compatible Liquidity Pool?
Access to Exclusive IP Fractionalization lets more people invest in rare or high-demand tokens, such as top-tier game items or art pieces, without needing the full purchase price.
Greater Liquidity Fractional tokens typically see higher trading volume, thanks to their affordable price per fraction. This benefits both small collectors and large investors looking for quick exits.
Fee Generation Liquidity providers can earn ongoing fees from the pool’s trading activity—potentially capitalizing on the high interest in unique IP collectibles.
Cross-Ecosystem Integration These pools tie into the broader Story network, including yield farming, IPFi incentives, and other DeFi mechanics—enabling multi-layered rewards for participants.
Example: Jutsu World 404 Cards
Fractionalize a rare card into fungible token.
Create a Pool: Set up a 404-compatible liquidity pool on StoryHunt with the fractional card tokens and a stable asset.
Stake & Earn: Liquidity providers deposit tokens and collect fees from every trade.
Reassemble: If a user gathers enough fractional tokens, they might reassemble the card and claim the full NFT—which might be a legendary card when you re-roll.
The 404-compatible liquidity pool for fractionalized IPs is a key innovation, democratizing access to high-value NFTs and enhancing liquidity. By embracing this standard, StoryHunt enables a vibrant market for fractional IP tokens, benefiting collectors, investors, and the entire IPFi ecosystem.
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