Vault
Last updated
Last updated
The Vault is a core component of Floor Protocol, serving two primary functions:
NFT Fragmentation: The Vault allows users to deposit NFTs and receive fractional μTokens in return. This provides accessible tokenization of NFTs.
Value Maintenance: The Vault stores NFT collateral that provides intrinsic value to μTokens. Its reserves guarantee redemption ability.
Whether you are trading NFTs casually or investing long-term, the Vault improves your capabilities through:
Liquidity from fragmentation
Stability from redemption reserves
Accessibility for traders of all capital sizes
By fragmenting NFTs and maintaining collateral value, the Vault enhances Floor Protocol ecosystem for traders and collectors alike.
The Vault is vital for preserving the intrinsic value of μTokens. It does this by storing ample NFT collateral that backs every μToken with a redeemable asset. This guarantees users can exchange their μTokens for Vault NFTs when desired.
Knowing each token is reliably redeemable for real assets instills confidence in the underlying value of μTokens. Their value is not abstract but backed by the tangible contents of the Vault.
By maintaining robust reserves and enabling consistent redemptions, the Vault gives μTokens inherent worth and stability. Users can trust their tokens represent fractional ownership that can be made whole when the time is right.
The Vault offers a convenient pathway for fragmenting your NFTs and is accessible to all without the need for staking $FLC tokens. However, once an NFT is placed in the Vault, it becomes exclusive to the Floor Protocol. Only µ-Token holders have the opportunity to redeem these NFTs.
The Vault is not just a storage facility; it's an integral part of the Floor Protocol system, offering you liquidity, value maintenance, and the choice between ease-of-use and privileged access. Through the Vault, we empower you to engage with NFTs and µ-Tokens on your own terms.
