Burst is utilizing NFTs to improve exchanging multiple assets at once for DeFi participants, so that they may easily conduct basket and OTC trades
Demo hosted on IPFS and contract deployed on Ethereum Ropsten network
We have developed a protocol that allows a user to create a unique basket of an unlimited number of assets (beginning with ERC20 and to eventually include NFTs). This basket can be used for multi-asset and Over-The-Counter (OTC) trades without requiring a centralized exchange or escrow service, as the user can instead use any available and decentralized marketplace. Any user that owns a Burst NFT can destroy it at any time to collect the underlying assets. A Burst NFT creator fee (currently set at 2%) will go back to the basket creator. We are creating an OTC-like marketplace for this utility NFT with features to support price exploration (e.g., premiums/discounts) for sellers and buyers. Further product iteration will utilize the underlying assets in other DeFi mechanisms to generate additional value for basket holders.
Uses cases can include:
- An institution that wants to quickly trade large quantities of assets that it could not do on current exchanges due to liquidity and slippage issues
- A user wants to get rid of everything in their wallet at once, rather than conducting multiple trades over potentially multiple exchanges
- A user wants to create a basket of assets that share a common feature and sell them at a packaged premium/discount
As these NFTs can represent the value of any underlying token asset (including LP tokens, debt tokens, etc.) there are even more possibilities in DeFi in which Burst NFT may be built upon to derive additional value. These are being explored.