What is Nibbl?
It’s no secret that NFTs are now mainstream and widely adopted. But despite their immense potential, challenges like price still slows down their adoption. Due to their high price tag, small time investors find it difficult to enjoy the utilities offered by NFTs.
Nibbl overcomes this barrier by making low-priced NFT-backed editions.
What is Nibbl
Nibbl is a web3 protocol that lets you lock your NFT in a smart contract, and make editions of them. This makes it possible for collectors to get exposure to high-valued NFTs.
Nibbl ensures simpler buyouts and guarantees liquidity using a unique bonding curve mechanism. Nibbl also has social features that let you directly connect and engage with other community members.
Through Nibbl, you can make and own ions(ERC-20 derivatives) or editions (ERC-1155 derivatives) of highly sought-after NFTs, allowing for the widespread adoption and ownership of NFTs. Nibbl supports the Polygon and Ethereum blockchains and has plans to support all EVM chains.
What are IONs
ION is short for Identity of NFTs. It’s a term we use to describe ERC-20 tokens that are obtained after an NFT is editionized. Ions behave like other ERC-20 tokens, so they are fungible, and compatible with Dapps and projects on Ethereum.
Benefits of editionizing your NFTs on Nibbl
It doesn’t matter whether you’re a collector, creator, or token holder; Nibbl offers you several advantages.
For collectors
Increased liquidity
Illiquidity is one of the significant problems associated with NFTs. Compared to other digital assets, NFTs are relatively illiquid. Editionization will help you increase your NFT’s liquidity because it involves making ERC-1155 editions or ERC-20 ions of the NFT which are easily tradeable.
Create your NFT community
On Nibbl, we’ll offer you tools to help you build your own token-gated NFT community.
Editionize NFT bundles
On Nibbl, you can group your NFTs into a basket and editionize the basket as a whole. This allows you to generate liquidity and create a community around different NFTs.
For token holders
Access to token-gated sub-communities
As an ion holder on Nibbl, you can access token-gated sub-communities and enjoy all the utilities of a community member.
Future rewards with fractional drops
You’ll also enjoy rewards in the form of airdrops of other NFT editions from Nibbl and the sub-community you belong to.
Ability to participate in governance
You can participate in your sub-community’s governance and decision-making as a token-holder. You also get the right to participate in the NFT’s buyout process.
Social proof
You can show off your NFT editions on social media platforms like Twitter. So you get the added benefit of proving to your friends and followers that you own interesting NFTs.
For creators
Increases the value of your NFT
Editionization increases the value liquidity of your NFT as a lot more people invest in the asset.
Increased distribution
Editionizing your NFTs will lead to increased exposure and distribution. You’ll be able to distribute the editions to users who will help you spread the word about your NFT.
Create more efficient DAOs
Editionization on Nibbl enables you to create token-gated sub-communities and build your community as you see fit.
Reward your early supporters
Editionization also gives you the means to reward your loyal fans with continuous ions. This increases your popularity, leading to even higher value for your NFTs.
What sets Nibbl apart
Buyout mechanism
A buyout occurs when the original NFT owner decides to unlock the NFT from the vault by buying the entire ions of the NFT and providing an exit to other owners. Without a buyout, it’ll be impossible to unlock the original NFT. Other platforms adopt a governance process in their buyout game, involving community members to vote for or against the buyout. But Nibbl adopts a much simpler alternative, that is a price-based buyout mechanism.
Our buyout game is divided into 3 stages:
Stage 1
In the first stage, a shark (the collector who wants to buy out the NFT) triggers a buyout to buy the locked NFT by depositing money at the buyout valuation of the ions.
Stage 2a
In the second stage, the fish (community members who don’t want the buyout to happen) come together and increase the NFT valuation by buying more ions.
Stage 2b
Alternatively,
The crabs (community members who want the buyout to be successful) come together and try to reduce the NFT valuation by selling their ions.
Stage 3
Depending on the efforts made by the fish, the buyout is either rejected or accepted in the third stage.
3a
If the fish buy enough ions to increase the NFT valuation by 15% before the buyout expires (4 days after the shark triggered the buyout), the buyout is rejected.
3b
But if the NFT valuation doesn’t increase by 15% during the buyout period, the buyout is accepted, and the shark successfully unlocks the NFT.
Nibbl’s bonding curve mechanism
Nibbl uses a 2-bonding curve model to ensure liquidity and let the original NFT owner decide how much liquidity they need to start trading the ions.
Imagine you want to fractionalize a doodle worth 100 ETH. You’ll need to add liquidity to support the bonding curve from 0 to 100 ETH. The lowest amount of liquidity you can add is 5%, and the maximum is 30%.
This initial liquidity is called a secondary curve. Let’s say you add 10 ETH for an initial valuation of 100 ETH; this means the reserve ratio of the secondary curve is 10%. When there’s trading on the primary curve, we take a part of the fees to increase the secondary curve. This makes the secondary curve’s reserve ratio approach that of the primary curve. This mechanism ensures that there’s always liquidity for your NFT.
How to editionize your NFT on Nibbl
Editionizing your NFT on Nibbl is easy, and you can complete that in a few minutes.
Follow these steps to editionize your NFT on Nibbl.
Editionizing a Single NFT
Step 1
Connect your wallet
After connecting your wallet, switch the network to the polygon network.
Step 2
Tap on editionize
Tap on the editionize button on the top right side of your screen to start the editionization process.
Step 3
Enter the details of your NFTs
Next, you have to enter details like name, initial token supply, price, symbol, description, initial liquidity, minimum buy-out date, etc.
Step 4
Editionize your NFT
The final step to editionizing your NFT is to approve the transaction and let it go through.
Editionizing Multiple NFTs
Follow the same initial steps as editionizing a single NFT, like going to nibbl.xyz and connecting your wallet.
However, when you fill out the details needed to editionize your NFT, you’ll choose the ‘Multiple NFTs’ option at the bottom left of the screen.
After completing this step, follow these four steps to editionize your multiple NFTs successfully:
- Mint a bucket
To editionize multiple NFTs, you must first mint a bucket. This bucket will hold all the NFTs you wish to editionize. - Select your preferred NFTs
After minting your bucket, you’ll select the NFTs you want to editionize and transfer them to the basket. You must select a minimum of 2 NFTs to editionize NFTs in a basket. - Approve the bucket
The third step is to approve the NFT basket.
After approving the basket, you’ll have to fill in the details needed to editionize your bucket of NFTs. The details are similar to the required ones when editionizing single NFTs. - Fractionalize your NFTs
After filling out the details, the final step is editionizing your NFT. If you’d prefer to follow these steps in a video, watch this youtube video for more insights.
Join us
Editionizing your NFT on Nibbl could be one of the best decisions you make in the NFT space. There are endless possibilities of community, utility, and adoption to explore.
Join our Discord today.
You can find out more about Nibbl by visiting our website. You can also join our Discord and Telegram. Follow us on Twitter.
