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Fungify
Fungify is a decentralized finance (DeFi) protocol for non-fungible tokens (NFTs), describing itself as an "NFT Bank." It provides liquidity and financial instruments for the NFT market through two main components: "Index," a permissionless NFT exchange-traded fund (ETF) that creates a yield-bearing NFT index token ($NFT), and "Pools," a cross-margin money market for lending and borrowing NFTs and other crypto assets. The protocol is governed by a DAO, utilizes its own governance token (FUNG), and emphasizes security through extensive audits and real-time monitoring on the Ethereum blockchain.
Distributed
Description
Fungify is a decentralized finance (DeFi) protocol designed to enhance liquidity and provide financial instruments for the NFT market on Ethereum. The protocol is structured around two core components: "Index" and "Pools." The Index functions as a permissionless, exchange-traded fund (ETF) for NFTs, where users can deposit NFTs into a "MarketVault" to mint a fungible, yield-bearing index token ($NFT). This token is fully backed by the NFTs in the vault, and its value is pegged to their collective floor prices via an oracle. To ensure fairness and prevent value extraction, redeeming an NFT from the vault is a randomized process managed by Chainlink VRF. The "Pools" component is a cross-margin money market that enables the lending and borrowing of both NFTs and other crypto assets, creating a synergistic lending market for the $NFT token. Fungify is governed by a DAO, with its native FUNG token used for governance; staking FUNG grants users voting rights (veFUNG) and a share of protocol fees. The platform places a strong emphasis on security, having undergone extensive audits and implementing real-time threat monitoring and a public bug bounty program.Grant Funding
VC Funding
None
2023
$0
$6M