# NFT Index Token ## $FLC 2.0 **Floor Protocol** **rebuilt $FLC** as an **Index Token** reflecting major price movements in the NFT sector - **simplifying exposure for all investor profiles** seeking participation.

### Upside Made Straightforward Getting optimal exposure to high-potential NFTs historically demanded extensive research, technical know-how and risky speculation on unvetted ventures. ### Clear Window Into a Diverse Market. Owning $FLC allows charting the ever changing NFT sector through a straightforward yet credible format, similar to how ETFs, by design, only contain proven and successful companies. ## Curating pools of Blue-Chip Collections Similar to how the Market Capitalization of top companies in the stock market influences the trend of US indexes such as S\&P500, the Total Value Locked (TVL) of NFT pools also affect the performance of $FLC.

***The higher the Volume & TVL that a collection has, the more it affects the price of $FLC.*** \ \ For example, at the current moment, $FLC index would be affected most by large collections such as BAYC, Pudgy Penguins, and Azuki's price movements, while smaller collections have proportionately smaller impact.

How collection price trends may affect $FLC prices

## How buying/selling µTokens affect $FLC **Rewards to Strengthen Smart Routing Pathways** Floor Protocol offers sizable liquidity mining rewards for trading pairs bridging $FLC to both ETH and fractional tokens of elite NFTs. For example: * µBAYC/$FLC * $FLC/ETH This spotlighted incentive focus enhances trading efficiency by concentrating liquidity strategically to construct common routing pathways via $FLC. As a result, when investors spend ETH to purchase µTokens, order flows follow low friction pathways like: ETH → $FLC → µBAYC Rather than directly swapping ETH for µTokens, transactions get guided through algorithmic incentives to route via intermediate $FLC pairs - automatically embedding price impact.

When µTokens are bought, Value is injected into $FLC and then locked in µTokens.

When µTokens are sold, the intial buy pressure will be reversed.

{% hint style="success" %} The value of $FLC is locked into μTokens when there is buy pressure of NFTs. It is only reversed when μTokens are sold off. {% endhint %} ## --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://docs.fp.io/usdflc-token/nft-index-token.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.