NFT20 Guides
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NFT20 Guides

A Detailed Guide for using the TOP DOG BEACH CLUB NFT20 Pool

What is NFT20?

NFT20 is a permissionless p2p protocol to tokenize NFTs and make them tradable on decentralized exchanges such as UniSwap or Sushiswap.

Anyone with an NFT can create a new pool or add his NFT to an existing pool and get ERC20 Token derivatives of their NFTs in a permission-less way, those tokens can be transferred and traded on DEXes right away. You can also swap your NFT for any other NFT of the same pool, no need to tokenize.

NFT20 also allows you to own a fractional share of an NFT in the collection. For example, if you own 50 TDBC20 then it means that you own 50% of a Floor TOP DOG(the cheapest TOP DOG).

What is an NFT20 Pool and what can you do with them?

The NFT20 Pool contains TOP DOG that other users have deposited and you can perform different actions on it using TDBC20 . TDBC20 is an ERC20 token created specifically for the TOP DOG NFT20 Pool and it can be traded on Uniswap.

Use cases for the NFT20 pool and TDBC20:

  1. You can deposit a TOP DOG into the pool for 95 TDBC20 tokens.
  2. You can use 100 TDBC20 tokens to swap out any TOP DOG in the pool.
  3. You can swap a TOP DOG with any other TOP DOG in the pool.
  4. You can buy directly using ETH from the pool.
  5. You can exchange your ETH for TDBC20 on Uniswap.
  6. You can exchange your TDBC20 tokens for ETH on Uniswap when there is enough liquidity.

Note: All TOP DOG are treated equally in the pool so you should only deposit TOP DOG that you think are common (i.e Floor TOP DOG )

We will go over each of the above use cases in more detail below.

1. Swapping a TOP DOG with another TOP DOG in the pool

Select “Swap NFT to NFT”
  1. Select the “Swap NFT to NFT” toggle above.
  2. In “FROM”, select a TOP DOG from your wallet
  3. In “TO”, select that cute TOP DOG from the pool that you like better

Note: Unlike using TDBC20 , you can swap a TOP DOG in your wallet for another TOP DOG in the pool without the 5% fee and only pay a gas fee.

2. Depositing a TOP DOG into the pool

Default interface

You can deposit a TOP DOG into the pool and in return, you will get 95 TDBC20 tokens. The remaining 5 act as a 5% fee and get distributed to $MUSE token holders.

3. Buying a TOP DOG from the pool using 100 TDBC20

Interface for buying TOP DOG with TDBC20

If you click on the arrows between the “FROM” and “TO” fields, it will let you change the direction of the swap (just like Uniswap). Now you can swap 100 TDBC20 for a TOP DOG!

4. Buying a TOP DOG directly from the pool

Buy Now

There’s also a new feature where you can also directly buy a TOP DOG from the pool using ETH without dealing with TDBC20 . The NFT20 platform will do all the Uniswap operations for you in 1 transaction. There’s a 5% fee to it but it might be more cost-efficient since you can save on gas fees.

5. Exchanging ETH for TDBC20 on Uniswap

Trading ETH for TDBC20

Since TDBC20 is an ERC20 token, you can directly get it from Uniswap. You can also directly click on this link to access the TDBC20 Uniswap exchange page.

6. Exchanging TDBC20 to ETH

Trading TDBC20 for ETH

Similarly, you can exchange TDBC20 for ETH on Uniswap. The great part about this is that you do not need to look for a buyer (compared to OpenSea). Here’s the Uniswap link.

There will need to be enough liquidity in TDBC20 in order to perform this operation.

7. Provide Liquidity for TDBC20-ETH Pair

You can provide Liquidity to the TDBC20/ETH pair .

Add liquidity to the Uniswap TDBC20/ETH pair. You will need to provide TDBC20 and ETH in order to do it.

How does the Floor Price and the token price of TDBC20 change?

The Floor Price of TOP DOG on NFT20 and the token price of TDBC20 fluctuates with the buy and sell transactions.

If more people buy TDBC20 tokens, then the TDBC20 token price and the Floor Price (100 TDBC20 ) of a TOP DOG on the NFT20 pool go up. If more people liquidate their TDBC20 tokens for ETH, the price goes down.

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