Minting
Mint wrapped NFT (wNFT), a liquid ERC20 token, against NFT
Last updated
Mint wrapped NFT (wNFT), a liquid ERC20 token, against NFT
Last updated
You are able to mint an ERC-20 token (wNFT) by adding an NFT into Litra's Vault. Unlike a non-fungible token (NFT), the ERC-20 is fungible, implying that all tokens are identical. This characteristic allows a wNFT to be utilised in various ways, including:
Establishing NFT AMM liquidity pools on a DEX;
Providing liquidity to earn transaction fees;
Instantly selling against a liquidity pool;
Staking for rewards or loans.
A wNFT can be used to redeem an NFT (1:1) in the same collection at any time.
The explore page provides a comprehensive display of NFT collections staked in Litra in the form of wNFTs.
After loading your NFTs, all the NFTs that can be wrapped into wNFTs are presented, which is based on the contents present in your connected wallet. Or you can input the NFT contract address and search for it.
You can select specific NFTs from your wallet that you would like to wrap into the wNFTs. It's important to note that by staking one NFT into Litra you are wrapping the NFT and receiving one corresponding wNFT.
Before the NFTs can be wrapped and minted into wNFTs, you will need to approve. Click APPROVE and confirm in your wallet.
The wrap fee will be distributed 100% to the Litra DAO. The fee rate is set to a default of 0% during the test phase, and the DAO is able to update the fee rate via a governance vote.
For example, with a 1% wrap fee rate, you receive 0.99 wNFT for each minting and the remainder 0.01 wNFT is distributed to the Litra DAO.
With your NFTs approved and wNFT value confirmed, click WRAP to mint your wNFTs. Each NFT will return one wNFT, minus the wrap fee.
You are directed to the page for forming liquidity pools, adding liquidity and swapping where you can use the minted wNFTs to form new pools, add liquidity to existing pools or swap for different assets.
