How to Use the Robotos NFT20 Pool
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 ROBO20 then it means that you own 50% of a floor Robotos (cheapest Robotos).
What is an NFT20 Pool and what can you do with it?
The NFT20 Pool contains Robotos NFTs that other users have deposited, and you can perform different actions on it using ROBO20. ROBO20 is an ERC20 token created specifically for the Robotos NFT20 Pool and it can be traded on Uniswap.
Use cases for the NFT20 pool and ROBO20:
- You can deposit a Robotos into the pool for 95 ROBO20 tokens.
- You can use 100 ROBO20 tokens to swap out any Robotos in the pool.
- You can swap a Robotos with any other Robotos in the pool.
- You can buy directly using ETH from the pool (When there is enough liquidity).
- You can exchange your ETH for ROBO20 on Uniswap(When there is enough liquidity).
- You can exchange your ROBO20 tokens for ETH on Uniswap (When there is enough liquidity).
- You can provide Liquidity for the ROBO20-ETH Pair and earn trading fees.
Note: All Robotos are treated equally in the pool so you should only deposit Robotos that you think are common (i.e. floor Robotos).
We will go over each of the above use cases in more detail below.
1. Swapping a Robotos with another Robotos in the pool
- Select the “Swap NFT to NFT” toggle above.
- In “FROM”, select a Robotos from your wallet.
- In “TO”, select the Robotos from the pool that you want.
- Click on “APPROVE” which is a one-time transaction giving the DEX the authority to execute your transactions, and finally click on “SWAP” to complete the process.
Note: Unlike using ROBO20, you can swap a Robotos in your wallet for another Robotos in the pool without the 5% fee and only pay the gas fee for the swap transaction.
2. Depositing Robotos into the Pool for ROBO20
You can deposit a Robotos into the pool and in return, you will get 95 ROBO20 tokens. The remaining 5 tokens act as a 5% fee which is distributed to $MUSE stakers.
3. Buying a Robotos from the Pool using 100 ROBO20
If you toggle 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 ROBO20 for any Robotos of your choice!
4. Buying a Robotos directly from the pool
There’s also a feature where you can directly buy a Robotos from the pool using ETH without dealing with ROBO20. The NFT20 platform will do all the Uniswap operations for you in a single transaction. There’s a 5% fee but it might be more cost-efficient since you can save on gas fees.
5. Exchanging ETH for ROBO20 on Uniswap
NOTE: This feature is available after the Uniswap pool creation by the community.
Since ROBO20 is an ERC20 token, you can directly get it from Uniswap. You can also directly click on this link to access the ROBO20 Uniswap exchange page.
6. Exchanging ROBO20 to ETH
NOTE: This feature is available after the Uniswap pool creation by the community.
You can exchange ROBO20 for ETH on Uniswap. The great part about this is that you do not need to look for a buyer (compared to OpenSea).
There will need to be enough liquidity for the ROBO20-ETH pair in order to perform this operation.
7. Provide Liquidity for ROBO20-ETH Pair
You can provide Liquidity to the ROBO20/ETH pair and earn trading fees.
Add liquidity to the Uniswap ROBO20/ETH pair. You will need to provide ROBO20 and ETH in order to do it.
How does the Floor Price and the token price of ROBO20 change?
The Floor Price of Robotos on NFT20 and the token price of ROBO20 fluctuate with the buy and sell transactions.
If more people buy ROBO20 tokens, then the ROBO20 token price and the floor price (100 ROBO20) of a Robotos NFT in the pool go up. Similarly, if more people liquidate their ROBO20 tokens for ETH, the price goes down.
