ReNFT — Babyswap AMA
| Community & Social media
| Question 1: Please briefly introduce the ReNFT project, and then summarize what ReNFT can do?
Mike: ReNFT is the first platform focus on NFT liquility and also BSC’s first NFT liquility protocol. You can simple regard ReNFT as the liquility lego in the NFT world.
Let me say with lines from the official website.
ReNFT is an innovative multi-chain modular component platform for NFT liquidity. It’s functions include shades factory, INO raisefundingInitial Shards Offering, shades-based DAO NFT funds, consensus signature of NFT copyright, API copyright authorization cross platforms in metaverse, IP valuation and transaction, radical transaction price farming, etc.
| Question 2: We noticed that ReNFT V1.5 focuses on the shards factory. What’s differences between ReNFT V1.5 and Fractional,? What are your core strengths?
Mike: First, ReNFT V1.5 solves some of the most difficult problems of NFT fragmentation:
- How to combine the Platform token with its fragmentation business scenario and how to make profits for the holder?
- How do fragmented tokens have a rising token model mechanism?
- How are cross-chain NFT assets fragmented?
- How to solve the initial liquidity of fragmented tokens? What about removing the pool?
- What’s the function of fragmented tokens?
First, compared with Fractional’s token, which only has a governance function, RNFT has the function of gaining all values of fragments.
At present, Fractional has not issued his token. It can be learned from the official Discord that its exchange token only has the function of voting and governance, and it does not connect its function with the business scenario, so the governance token cannot empower anything in practice.
However, ReNFT’s token RNFT can reward its holders with dividends of fragmented tokens. This dividend comes from the royalties of the fragmentation agreement. Users can get all kinds of fragmented tokens free of charge by pledging RNFT in the dividend pool. They can sell those fragmented tokens they obtained or use them to vote and bid on NFT, gain bonus from NFT buyout and recasting, or participate in various scenarios of DeFi, such as mining, borrowing, purchasing other NFT works, participating in Social Fi, etc.
Second, we collect fragmented tokenas the royalty to benefit RNFT holders, while Fractional directly collects ETH and does not distribute it to their Platform token holders.
As we can seen, Fractional collects ETH from the curator of NFT fragmentation, and the royalty is directly used by the Fractional team. The business model is questioned, and then the holders of its Platform token are unable to obtain benefits from the its scenario.
ReNFT charges a certain agreement royalty for the fragmentation curator who sets the fragment royalty. This agreement royalty is to collect some the fragmented tokens, which are directly given to the RNFT Stakers.
Third, due to ReNFT’s royalty mechanism, the fragmented token on ReNFT platform can “burn and deflate” by themselves
Fragment royalty means that every time the holder of fragmented tokens trade or transfer the token, a corresponding proportion of tokens will be returned back to the Curator of NFT fragmentation. For example, if I set a 3% royalty, 3% of the tokens will be returned to the address of the Curator for every transfer. The larger trading volume is, the less circulating supply in the market, and the higher the expectation of rise!
Fourth, ReNFT solved the problem of initial liquidity of fragmented tokens through INO, but fractional did not.
After the fragmented token is generated, the initial liquidity is generally provided by the Curator, who will face additional funding pressure. Moreover, if the initial liquidity is provided by a single person, there is also a risk of removing the pool.
For ReNFT’s INO, you can see it as the way to build a pool of crowdfunding liquidity. For example, if 1000 fragmented tokens AAA are issued, with 900 for BNB, all the collected BNB are put into the liquidity pool, and the fragmented token is distributed to the participants according to the offering proportion. In this way, the initial liquidity problem is solved by the community. Due to the large number of participants, there will be no risk of removing the pool at one time.
Here’s our official introduction
INO (initial shard offering) offers fungible tokens formed by NFT shards in the primary market. The issuers of INO can set their own offering proportion, offering time, soft cap / hard cap, and other parameters. Subscriptions through both Liquidity Time Locked and LP Token of RNFT are available.
Fifthly, ReNFT’s exchange token and functional architecture support multi chains, but Fractional only supports Ethereum
This is very important. RNFT supports BSC, OEC, ETH and Conflux, as well as Solana in the later stage. Then the RNFT stakers can gain NFT fragmented tokens on all public chains. Holding RNFT can get NFT benefits of each public chain for free, and fragmented tokens can be used inthe DeFi applicationsof each public chain.
Sixth, ReNFT’s own scenarios will provide more options for fragmented tokens
I will answer this in the following questions.
| Question 3: How does investor join the fragmentation game? how to make money and how to operate?
Mike: It’s a good question. If you want to join the game and know how to make money, you must first understand the core mechanism of fragmented tokens.
Users holding fragmented tokens can have the following equities:
- Reserve Price for NFT items
- Trading on the secondary market
- Engagaing in various DeFi staking
- Dividend right after buyout and recasting of fragments
First, the holders of fragmented tokens can jointly determine the initial price of NFT in the form of community
Holding fragmented tokens is not only enable holders to trade on DEX, but also significantly allow people holding fragments vote and give a reserve price of NFT according to their holding proportion. Here is an example:
Reserve Price can be understood as the current price of NFT item. Its price is determined by the fragmented token holders according to the weight of their respective token holdings. An example is as follows:
A：70 XXX B：10 XXX C：20XXX
If the fragment Curator A fragments the NFT into 100 tokens XXX, the initial reserve price is 100 ETH, and the A hold 70 XXX, B holds 10 XXX and C holds 20 XXX.
A initiates the offering:
A thinks the NFT values 200 ETH and submits it. His contribution to the price is 20070% = 140 ETH
So A completes his voting on offerings
The new Reserve Price is 240 ETHs
B initiates the offerings:
B thinks that the NFT only values 50 ETHs (which is lower than the current Reserve Price, the contribution is negative) and submits it. His contribution to the price is — 50ETH10% = — 5ETH
So B completes his voting on offerings
The new Reserve Price is 235 ETHs
*C initiates a offering: * C thinks that NFT is only worth 300 ETH and submits it. His contribution to the price was 300ETH20% = 60 ETH
So C complete his voting on offerings
The new Reserve Price is 295ETH (235ETH + 60ETH).
It can be concluded that
The holders of fragmented tokens can jointly determine the initial price of NFT in the form of community
Second, making profits in the secondary market
This point is easy to understand. As long as the fragmented tokens have liquidity in the secondary market, the fragmented tokens obtained can be bought low and sold high. The valuation of tokens will rise,which, of course, means an increase in the valuation of NFT works. For instance, the value of Fractional’s NFD rose 3000% within 3 days, and become really popular. Many investors earned a lot. A fragmented token of NFT also went public on MXC exchange immediately.
Third, being engaged in all kinds of DeFi staking to get free tokens
Fragmented tokens are the same as general fungible tokens. Those who hold them can participate in mortgage lending, staking and so on.
Fourth, the right to obtain dividend of fragment token
Let’s continue with the above example. Currently, A is the Curator of fragmentation, and the Reserve Price of NFT is 295 ETH.
A big buyer decides to buy the NFT with 295 ETH. At this time, the buyout and recasting of the fragment will start, and the NFT is about to be auctioned.
Assuming that the auction lasts 3 days, if no offering is greater than 295 ETH within 3 days, the NFT will be automatically transferred to the winning buyer’s address.
The 295 ETH provided by him will flow into the fixed exchange pool, and people holding fragment tokens can exchange ETH according to their proportion.
It can be found that NFT is priced from 100 ETH to 290 ETH by the community and auctioned successfully, so the extra 190 ETH is the dividend of fragmented token holders. In this way, everyone can decide the selling price of NFT.
| Question 4: in the long run, where are the main markets of NFT fragmentation? What real market demands will be satisfied?
Personally, I think the fragmentation of NFT mainly satisfies the following market demands:
- Fragmentation meets the needs of both advanced collection and speculation
- Fragmented tokens can have a large number of holders, which contributes to the fast spread of NFT artworks. It is a new model of community art curation.
- Fragmented token will become the second generation MEME Coin the price will never be zero
- Fragments integrate NFT into the world of DeFi quickly
1. Meeting the demand for collection and investment (speculation)
With the rising price of NFT, it is difficult for retail investors of mainstream NFT collections to join the game. We can now take a look at NFT works with top trading volume on Opensea. Sometimes the lowest price can climb several times a day.
Therefore, the financial threshold for retail investors to collect works will be very high, but if NFT can rise or maintain its value for a long time, retail investors do not need to collect them and can get handsome payoffs by investing in their fragmented tokens.
Retail investors holding fragmented tokens can determine the lowest price of NFT and they will have a sense of community in DAO collection.
The Curator or holder of NFT fragments can see it as a selling point to sell NFT at a higher price or maintain its value at the lowest price.
Retail investors and curators take what they need. In this way, the value of NFT item is mixed with that of community. It is unimaginable with traditional collection. To put it plainly, the cool technology used by the cryptocurrency defies imagination and tradition.
2. Fragmented tokens can have a large number of holders, which contributes to the fast spread of NFT works. It is a new model of community art curation.
We know that NFT can only be held by one person, the huge problem for high-quality NFT is how to spread and promote it among early community. Now the shards factory divide it into 10000 tokens, and with liquidity or DeFi operation rules as well as airdrop, a huge community soon comes into being; what’s more, each fragmented token holder can also participate in NFT voting on offering, which is a popular community topic. In this way, the influence of NFT works can be quickly improved.
3. Fragmented token will become the second generation MEME Coin that will never be zeroed out
First of all, the slogan of Shiba Inu coin is to beat Dogecoin and then get its price soaring. The skyrocketing price of path.eth fragmented token is due to because they have got Shiba Inu, the prototype of Shiba Inu coin, so this fragmented token is a real “dog” and can have soaring price.
Well, comparing Shiba Inu coin with Path. eth fragmented token, we find that both of them have the same function except that the latter one has a picture.
However, the picture NFT is the innovation. It is not a picture but the totem for the community MEME. It embodies the community spirit, which is visualized by NFT, so it is the innovation of meme.
Just like in primitive society, those monsters, animals and gods carved in caves become totems for community. Then the NFT of the totem spirit becomes a tipping point for meme.
I will give you a example to deduct it and you will know why NFT’s fragmented meme coin will not be zeroed out!
Assuming that Shiba Inu coins are issued through a picture NFT fragmentation, and fragment tokens have the same scenarios as Shiba Inu coins (that is community consensus air coins).
Therefore, in addition to the similar logic driving the rise of fragmented Shiba Inu coins, there is also a advantage of image memes. Assuming that the price of Shiba Inu coins plummeted, if not issued through fragmented token, then they are air coins. Their price will be zeroed out, so does the community consensus.
If Shiba Inu coins are issued through the fragmentation of NFT, when the price falls withon a range, we think that since it is almost zeroed, it’s better to recast NFT and sell it.
Therefore, we initiate fragment recasting, buy all the tokens circulating in the market at a 120% premium, and then recast them into NFT. The tokens do not exist. Finally, the community get an NFT image. You can understand it as the “portrait” of the token, which have the exact sensation of meme.
Because the fragmented Shiba Inu coins has once attracted such strong cult, this recast NFT picture is bound to have artistic and historical value, and its price may be higher. Then we can find that the fragmented NFT Shiba Inu coins is “Shiba Inu coin” in the real sense, since it can get the value of NFT item through recasting without being zeroed out.
4. Fragments integrate NFT into the world of DeFi quickly
In terms of liquidity, fragmented tokens can be quickly applied to the DeFi ecosystem, such as lending, insurance, long and short. Moreover, fragmented tokens rely on better liquidity and can evaluate the underlying asset value of NFT. More interestingly, if holding fragmented tokens, you can also buy other works of the creators or even other creators’ works to meet the needs of Social DeFi.
| Question 5: A good platform needs to have good assets or let their users make money. Is there a new method for ReNFT V1.5’s sharde factory to make money on fragmented NFT?
on August 23th, path eth@Cryptopathic created NFD, the NFT token of Feisty Doge, on the fragmentation protocol Fractional, which is a fragmented NFT based on the avatar of Dogecoin.
NFD divided the ownership of a picture of the Shiba Inu (the prototype of Dogecoin’s avatar) formerly known as Kabosu, into 100 billion fragments. On the day of issuance, the price of NFD rose to $0.0009, with a trading volume of more than $140 million in 24 hours and an 300% increase on the 3rd day.
On the day of issurance, this picture became the most expensive NFT, surpassing Beeple.
Compared with path’s NFD, ReNFT cooperated with Meta, the Italian encryption art team to issue NOD, the first NFT fragmented MEME in BSC. More information on this meme, see the link https://medium.com/@metanowhere/never-0-doge-a04b8029e7af
In comparison with the fragmentation project on Fractional, ReNFT has several new elements:
1. Royalty makes Fragment tokens have deflation property
Meta’s NOD has the function of fragment royalties. For each transaction, 3.5% of the tokens will be returned to the curator of fragmentation. The more transactions, the less circulated tokens, and the higher the expectation of rise !
2. RNFT holders can obtain fragment tokens by staking
Since NOD has royalties, ReNFT will charge 3.5% of the agreement royalties and distribute them to the ReNFT pledge for holders’ dividend.
In early October, BabySwap will also issue the first Baby themed NFT on ReNFT, and in mid October Mirror World, the leading AI NFT project, will release fragmented NFT on Ethereum.
| Question 6: how does the RNFT token model secure an long-term increase? Is there a deflation or burn plan?
First, I will you something about our burn plan
We will burn 50% RNFT tokens on the 30th of this month. As shown in the table below, we have 100 million RNFT in total at first, and then only 50 million after 50% is burnt
As you can see, we will burn the mining token output from 60% to 26%,which will be released within one year. After that, there will be no extra mining output. The team’s tokens were also completely burnt.
Most importantly, we have given strong incentives to high-quality NFT fragmentation projects. They can obtain RNFT by staking various fragmentation tokens in ReNET’s pool. This strategy can help gain much popularity for the NFT project in the shortest time and enable its fragmented tokens.
Users can obtain free RNFT by mining or pledging some high-quality fragmented tokens.
Our model for rising token is unusual.
To sum up, “the mining mechanism through deflationary fragmented tokens and RNFT tokens has continuously reduced the market liquidity. The more fragmentation projects, the greater the RNFT pledge and the less circulation”. There are some reasons:
- Royalties make fragmented tokens deflationary
Most of tokens for ReNFT’s fragmentation project have royalties, so such projects become deflationary with a long-term expectation of higher price.
2. Pledging RNFT to obtain fragmented tokens
Royalties on the agreement will be charged when such deflationary tokens are issued, that is, these deflationary tokens will be collected and distributed to those who stakes RNFT.
If the price of fragmented tokens rise rapidly, more RNFT will be staked in the fragment dividend pool, RNFT wil become less liquid in the market, and its price will rise in the short term.
3. Staking fragmented tokens to obtain RNFT
High quality NFT fragmentation projects can also aquire RNFT through pledge. When the price of fragmented tokens rise rapidly, the holder can gain RNFT by pledging the fragmented tokens. Then the circulation of the fragmented token market will be further reduced, and becuase of its deflationary characteristics, the price will rise faster.
| Question 7: when will RNFT launch the Central Exchange (CEX) and when will it start liquidity mining?
Mike： CEX will be launched at 12:00 UTC on the 30th of this month, and liquidity mining will be started on Babyswap at 14:00 UTC