Fractron - democratizing access to expensive nfts

Project Name: Fractron - democratizing access to expensive nfts
Project Track: NFT
Team Name: Fractron
Team Member(s): 2 (ilovefractions, larzenxyz)
DevPost URL: Fractron - Fractional NFTs | Devpost
Video URL: fractron - fractionalized NFTs (Tron hackathon) - YouTube
Project Goal: Fractionalization of NFTs on Tron. The main goal with fractron is to make it easier to participate in the NFT ecosystem for people with not so much money. With fractron, you can own fractions of a Bored Ape even if you only have a couple dollars to your name.
Project Info:


Project Website: https://fractron.xyz
Project Github: GitHub - 0xradulov/fractron
Project Test Instructions:

  1. Buy 1 or more NFTs on for example https://apenft.io.
  2. Go to https://fractron.xyz and connect your wallet (we are deployed on shasta and mainnet BUT keep in mind the contracts are new and not audited so do NOT use this with expensive NFTs on mainnet).
  3. Go to fractionalize and pick the NFTs you want to fractionalize, and then fractionalize.
  4. You can now go to whatever DEX on tron you want, for example https://sunswap.io and add liquidity for your fractions, and then anyone can trade them!

Project Details:
In simple terms, you take one or more NFTs and divide them into fractions. More detailed, it goes like this:

  1. Alice buys a bored ape, but she later wants to sell parts of it.
  2. Alice goes to Fractron, and “splits” her Bored Ape (TRC721 token) into a “vault”. When she does this, she is creating a TRC20 token that represent the bored ape. When creating the vault, she chooses the name, symbol and supply. As you might understand, the TRC20 supply is the number of fractions.
  3. Now this TRC20 representation of the bored ape is tradeable like a normal TRC20 token. This means that Alice can add liquidity for it on e.g sunswap, and now everyone can buy and sell the bored ape fractions!

If she ever wants the whole bored ape again, she just needs to buy all the fractions, go to Fractron and “join” the vault!

You are not limited to fractionalize a single NFT from a single collection, you can put multiple NFTs from multiple collections into your vault. Because of that, another thing you can do is:

Create something we like to call “NFT Index Funds”. Imagine that you are the fund manager, and you buy for example 5 bored apes, 5 crypto punks and 10 tronninjas. You can then fractionalize all of these NFTs, and sell the fractions to people that want exposure to your fund!

Project Milestones / What’s next:

  • Make it possible to fractionalize TRC1155 tokens.
  • Make it possible to fractionalize INTO a TRC1155 token, instead of into a ERC20 token. This will make it possible for the vault to have an image representation.
  • Work on the user interface.
  • Gas-optimize the contracts.

Contract Address:
Mainnet: TRONSCAN | TRON BlockChain Explorer | 波场区块链浏览器
Shasta Testnet: TRONSCAN | TRON BlockChain Explorer | 波场区块链浏览器

112 Likes

cool sh*t… I like the index fund part :thinking: :thinking:

10 Likes

Es un proyecto bueno, como inversión en los dos niveles, tanto si se quiere una fracción de NFT, como tener la colección y obtener los fondos indexados.

6 Likes

Si, gracias! Glad you like it :slight_smile:

3 Likes

The concept is cool… But I have a few questions…

How do u track each split, its value, ownership etc…? Is that split NFT (TRC 20 token) backed by TrX or any stable coin…? (didn’t understand the liquidity part too)

Also if suppose I want to own whole NFT whoes fraction are on different dapps…so how is that possible…? (Join works only if all fractions are earned…rite…?)

15 Likes

How do u track each split, its value, ownership etc…? Is that split NFT (TRC 20 token) backed by TrX or any stable coin…? (didn’t understand the liquidity part too)

When you split, you create what we call “Vaults”. A vault is a TRC20 token that OWNS the NFTs you put into it. So if I create a vault with 10 bored ape, then the vaults TRC20 token is backed by the 10 apes. Since a vault is a TRC20 token, you can trade the vaults fraction on exchanges like sunswap, just like you would trade any other TRC20!

Also if suppose I want to own whole NFT whoes fraction are on different dapps…so how is that possible…? (Join works only if all fractions are earned…rite…?)

You need to own all the fractions right now to join, and it could sometimes be difficult to get all fractions back if they are spread out. We are working on a renting system aswell, where the fractions goes back to the vault after a specified time

13 Likes

What happens if I creat a vault with a single bored ape (or any NFT) divided/split into 10 parts…??

If it is so, then there are technically 10 wallets holding a single NFT… so who’s the real owner of the NFT…? In which wallet the real NFT will be stored…? How can one buy/sell his fraction if he needs to opt in or opt out of the investment…?

5 Likes

I like the concept of trading fractions of nft’s. But I have some questions about it:

Wouldn’t most of those nft’s lose value since you can’t use them in gamefi, staking pools,… basically once fractionnized, the nft’s that got a usecase will lose it.

I don’t really see the point in buying those fractions on an AMM DEX. Maybe you could develop a platform where people could list their trc20 at a fixed price and add informations about it (what nft is it backed with for instance)? Like an apenft but for trc20 standard?

5 Likes

Niceeee, i really love the concept of fractions…will make people participate more

5 Likes

In which wallet the real NFT will be stored…?

Contracts can own NFTs, so the NFTs will be stored in the vault contract. If you own all the supply of the vault, then you have a claim on the NFTs. If you have a claim on the NFTs, then you can “join” the vault, which means that you will get the NFTs back from the contract.

How can one buy/sell his fraction if he needs to opt in or opt out of the investment…?

Buying and selling of the fractions can be done the same way it is for all TRC20 tokens, either on an AMM style exchange like sunswap, but also on an orderbook exchange

4 Likes

Wouldn’t most of those nft’s lose value since you can’t use them in gamefi, staking pools,… basically once fractionnized, the nft’s that got a usecase will lose it.

I see what you mean, but there is no fundamental reason to why these apps couldn’t allow the fractions to be used on those places aswell. They can already be used on all places where TRC20 can be used, so in some way can the fractions be used at more places than the whole NFTs (which are TRC721).

Maybe you could develop a platform where people could list their trc20 at a fixed price and add informations about it (what nft is it backed with for instance)? Like an apenft but for trc20 standard?

I think AMMs are nice sometimes, but yeah maybe we should create an orderbook on the website aswell, so you don’t have to use an AMM and can trade the fractions directly.

Thanks so much for your thoughts :slight_smile:

5 Likes

Actually not a bad idea to contact nft creators as well to see if they can build staking pools for fractions of nft’s :+1:

4 Likes

Thanks for the response and a deep explanation… but I feel u should come up (maybe later on if not now) with ur own dex, where people can trade those TRC-20 tokens instead of trading at a random AMM.

That’d also solve the issue of "joining " complete NFT in case if anyone wants to own the whole…

3 Likes

Good idea! Creating a built in DEX might be a smart move

3 Likes

Interesting… making the non-fungibles a little fungible…

3 Likes

Can I make fractions of every nft or just some?

4 Likes

you can see on the website right now which collections are supported from the UI, if you call the contract directly then every collection is supported

2 Likes

interesting i think i seen something similar on ethereum

1 Like

I can’t afford an Ape, so I support this idea!

4 Likes

looks awesome dude, one of the better projects

2 Likes