🤖SPARK404

Understanding ERC-404 Tokens

ERC-404 introduces the concept of semi-fungible tokens. Created by developers, pseudonymously known as “ctrl” and “Acme” from Pandora Labs, this experimental token standard aims to combine the best of both worlds: the liquidity of ERC-20 with the uniqueness of ERC-721.

The ERC-404 standard conceptualizes a new class of tokens that are both divisible and unique. This innovative approach opens several possibilities for digital assets, allowing for fractional ownership of NFTs and expanding the utility and liquidity of digital assets on the blockchain.

How ERC-404 Tokens Work

Understand that each ERC-404 token is linked to an NFT. This means that when you purchase a token, a corresponding token is minted in your wallet. Similarly, when you mint an NFT, you’ll receive a fungible token associated with it.

Selling a fraction of a token will burn the NFT associated with it. And interestingly, when you collect enough fractions of the token to form a whole token, a new NFT is minted. This makes sure that each integral token always associates an NFT with it.

The best part is that both the tokens and the NFTs can be traded independently.

Key Takeaways

• ERC-404 introduces fractional ownership to NFTs, combining features of ERC-20 and ERC-721 standards, enhancing liquidity and accessibility in the NFT ecosystem.

• ERC-404 allows users to buy and sell fractions of NFTs, enabling broader participation in high-value assets and creating new investment opportunities.

• Unlike existing methods, ERC-404 facilitates fractionalization directly within the token standard, eliminating the need for additional platforms or intermediaries.

Spark 404 Overview

SPARK404 is a revolutionary mechanism that gives utility and value to $SPARK. SPARK404 contributes to the buy pressure on $SPARK, while simultaneously providing deflationary measures through an intricate system of token burns. Driven by innovation, SPARK404 was built from the ground up and can be classified as an entirely new 404 standard. While the basic principles of providing fractional ownership and liquid markets for NFTs is still at its core, we’ve taken things to an entirely new level.

Key Features / Modifications:

• Encrypted re-rolling of NFTs

• Reflective taxation

• Automated revenue distribution via NFT rarity

• Multiple security bug patches

• Making metadata consist / removing rarity re-rolling

• Gas efficiency refinements

• Divisible wrapping/unwrapping commission structure

• Anti-snipe mechanisms

• Whitelisted farming

SPARK 404 Mechanics

Welcome to the future of DeFi!

SPARK404 will feature a collection of 10,000 unique NFTs broken down into 24 distinct classifications. SPARK404 holders will earn reflections from buy/sell taxes as well as fees collected on re-rolling. There are also distinct rarity classifications with additional traits potentially making various NFTs within a given category more valuable. These NFTs may also qualify for even more reflection earnings.

Each buy/sell of the SPARK404 has a small tax (7.5%). This tax is collected and distributed to all NFT holders as rewards. The more volume generated by users re-rolling (fluctuating above and below one full NFT), the more reflections are earned. By holding your NFT and collecting these reflections, you can earn additional NFTs. With the more rare NFT types yielding additional reflections, there is a great deal of gamification that comes into play, which will incentivize users to re-roll for the chance to hold a rare NFT.

Be one of the lucky few to collect all 24 NFT classifications and open up access to a secret staking contract where you’ll receive additional bonus rewards on top of your reflections.

The 24 classifications are made up of the 4 colors (Gold, Silver, Bronze, Pink) and 6 types of each color (type 1,2,3,4,5,6).

How it works:

Collecting SPARK 404's will give you access to reflections, but how do you get them and how can you profit?

Buying SPARK 404

SPARK 404 can ONLY be obtained by purchasing with SPARK or buying one through our NFT marketplace. When buying SPARK 404, your SPARK tokens are exchanged in the "SPARK Swapper" for bSPARK (burned SPARK). bSPARK acts as a receipt token for your original SPARK tokens and can then be swapped for SPARK404 within the bSPARK/SPARK404 liquidity pool.

Selling SPARK404

When you're ready to sell your SPARK 404, you can exchange your tokens which will be routed through the bSPARK/PLS liquidity pool. Our arbitration bots will maintain price parity between the two SPARK404 LPs.

Transfering SPARK404

Transfering SPARK404 between wallets will incur the same 7.5% tax as buys/sells. This tax is collected and distributed to all NFT holders as rewards.

Marketplace

We are also launching our own NFT marketplace. This will be a boutique NFT marketplace for our own NFTs, other 404 compatible listings, and curated NFTs, leading the way on Pulsechain. The marketplace fees generate additional revenue to support Sparkler and the Sparkswap ecosystem.

You will still earn reflections while your NFTs are listed in the marketplace. However, when NFTs are listed on the marketplace, the rewards are held within a holding contract. In order to collect the rewards, you have to delist it. Alternatively, you will receive the rewards once the NFT has been sold.