Hackernoon logo4 Fractional NFTs that Help Accelerate Fantasy Sports Stock Trading by@kiefer-begum

4 Fractional NFTs that Help Accelerate Fantasy Sports Stock Trading

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@kiefer-begumKiefer Begum

NFTs have burgeoned in recent months, with Beeple’s art piece selling for $69 million or Twitter founder Jack Dorsey selling the first-ever tweet on Twitter for $2.9 million. However, fractional NFTs in sports stock trading may soon become the next hottest sector in NFT after digital art.

What Are Fractional NFTs? 

Asset fractionalization refers to the splitting up of the ownership of an asset so that multiple individuals can receive benefits in proportion to the amount that they own. But why split something that is designed to be unique and, well, not interchangeable? Isn’t it defeating the purpose? 

However, it would help if you dug a little deeper to understand. Like a rare painting or an expensive collectible, assets in the digital world are not accessible to most people. Their rarity makes them very expensive, making them impossible to afford. Only a few high net-worth individuals would be able to afford them. 

What if we could issue tokens on the assets, with each token representing a fraction of the asset in question. This would make the asset more accessible to people as they would own a portion of it. People can also trade their tokens at will instead of having just one event like an auction. 

Top Four Fractional NFTs

We’ve discussed what NFTs are and underwood the benefits of fractionalizing them. Let’s look at the top four fractional NFTs that are helping accelerate fantasy sports stock trading.

#1 StarsX 

StarsX is an Ethereum powered decentralized exchange (DEX) that has been explicitly created for fractional NFTs. It allows users to exchange or invest in fractionable NFTs relative to their proposed outcome. The platform enables NFT token holders from different teams and gaming communities to converge and engage globally. 

The platform aims to create an ecosystem that draws sports fans to StarsX and experience a new way of watching their favorite sports while also competing against other users. The platform is built around fractional NFT markets, which replicate the real-life performance of players. 

#2 OpenMinter 

OpenMinter allows anyone to create and showcase NFTs on Tezos. It features an NFT creation engine that allows users to view and showcase their collectibles. Users can trade their NFTs in FA2-based marketplaces like Kalamint or directly view the tokens in their wallets. 

OpenMinter can connect to multiple wallets like Thanos or Kukai by utilizing Beacon support. It also features NFT creation with TZIP-16 compliant metadata. It also features support for mainnet and Tezos’ delphinet, new contract origination, IPFS integration with Pinata to host the underlying asset, or additional pinning capabilities. 

The platform will also incorporate support for out-of-the-box marketplace capabilities to buy and sell NFTs, and generate embeds for the easy integration of NFTs. Plus, they are working on a new standard proposal for multimedia NFTs similar to NBA TopShot, to help tokenize a wide range of content.  

#3 CryptoPunks 

CryptoPunks were the first NFT on the Ethereum blockchain, consisting of 10,000 unique characters known as “Punks.” Each of these characters is owned by a single individual. When they were first launched, they could be claimed by anyone who had an Ethereum wallet. However, all 10000 of the punks were quickly claimed by early adopters, and today, each punk must be purchased through its marketplace. 

Each punk’s rarity is based on its attributes, accessories, and character type. If you enter the marketplace, you will also be able to tell the status of each punk. Punks with a red background have been put on sale by their owner, punks with a blue background are not for sale, and the punks with a purple background have an active bid or interest. 

As of now, all of the 10,000 cryptopunks are scattered in a total of 1889 wallets. Some Punks have been valued at over a million dollars. Punk owner Daniel Maegaard recently sold a punk for $1 million and has also got an offer of $4.2 million for a rare punk that he owns. The investors hope to tokenize the NFTs and sell fractional shares of them to other users. 

#4 TradeStars 

TradeStars is a fantasy stock trading platform powered by the Ethereum blockchain and Matic Layer 2 protocol. TradeStars lets fans trade and monetize their digital assets and leverage their knowledge of the players and the game. Each asset’s value is influenced by sporting events and the past and current performance of the players. The platform lets users compete against each other, giving them a new outlet to utilize their knowledge of sports and players. 

TradeStars brings together blockchain technology and fantasy sports. Digital assets represent player statistics and characteristics that users can monetize. The value of the assets will be influenced by the players’ performances throughout the season. 

TradeStars acts as a DEX for fractional NFTs, economic incentives given to users for staking are interconnected with actual statistical data. The platform has done this through the use of ERC-20 standards to represent the NFT fractions. 

The TradeStars platform tokenizes real-life statistics of the players with the TradeStars fractional NFT implementation, allowing users to trade shares. These shares are known as smart tokens, and users can purchase or liquidate the smart tokens of any unlocked fractional NFT markets as they are interchangeable. Users can stake TradeStar’s TSX token to unlock NFT markets, receive transaction fees, and have a say in the governance of the TradeStars platform. 

Conclusion 

Several other projects are focusing on fantasy sports and fantasy sports stock trading. Fractionalizing NFTs is extremely beneficial, allowing digital assets to become more accessible to people and lower entry barriers for people to enter the space. The fractional NFTs discussed above are at the forefront of accelerating fantasy sports stock trading, allowing the ecosystem to grow and evolve. 

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