Divisible NFTs of the past suffered from a series of limitations that limited their potential.
First, due to their unique nature, divisible NFTs lack liquidity, which can lead to difficulty in trading. Additionally, this uniqueness creates valuation issues, as there is no standard way to determine the value of an NFT, and valuations tend to move into speculative mode.
Secondly, since splitting NFT owners can easily lead to unclear rights and responsibilities, the splitting process may also bring about ownership disputes and legal issues. In addition, they rely heavily on the infrastructure of the Ethereum network, and the transaction costs of the Ethereum network are high, which also greatly increases the difficulty for ordinary collectors to participate.
Fracton Protocol solves the shortcomings of traditional divisible NFTs through a series of innovative features and partnerships. Its enhanced security measures and non-upgradeable smart contracts provide full transparency and verifiability for divisible NFTs, while its partnership with KuCoin enables transactions in a gas-free, user-friendly environment.
Through the unique "Stateless system" design, it not only enhances the scalability of Ethereum, but also enhances the decentralization and composability of DApps built on this platform. . The efficient stateless system allows Fracton to minimize the data added to the Ethereum state, solving the problem of state explosion and simplifying the user interaction process.
In addition, Fracton’s “pool-less liquidity” design achieves at least 25 cheaper than traditional SWAP by minting/destroying tokens from user addresses (rather than transferring tokens) % gas fee. This innovative design significantly reduces transaction costs and provides competitive redemption fees compared to competitors.
Fracton’s strength also lies in its strong partnerships, especially with top centralized exchange KuCoin. Their collaboration has led to groundbreaking developments such as the first-ever IEO for a limited series of divisible NFTs on a top exchange. In addition to this, Fracton works closely with KuCoin on community building, educational events, and user support. Their regular AMA events on Twitter Spaces and Telegram promote user engagement and user education in the NFT space.
Finally, Fracton Protocol also leads KuCoin’s “Weekly NFT Review”, sharing their in-depth knowledge of the NFT space. This active sharing of expertise has allowed Fracton to help more people trade NFTs at more affordable prices and become a leader in the NFT revolution. This strategic partnership, coupled with Fracton’s innovation with divisible NFTs, sets a new industry standard for the NFT market and opens the way to new opportunities.