Pandora’s Ethereum Surge and the Rise of ERC-404 Tokens
Pandora, an Ethereum token and NFT hybrid based on a novel ERC-404 standard, is witnessing a recovery from its recent dip.
However, a new “semi-fungible” experimental Ethereum token standard is emerging, aiming to challenge Pandora’s initial success. As of now, Pandora trades at approximately $19,755, marking a 1% increase from yesterday and an impressive 342% surge from last week. The token, which debuted just over a week ago, operates uniquely: It comprises 10,000 ERC-20 tokens tied to a collection of 10,000 Replicant NFTs. If users own less than 1 Pandora, they retain the tokens without the corresponding NFT. Conversely, purchasing one of the NFTs automatically grants them 1 Pandora token.
The team behind this concept, pseudonymous creators “ctrl” and “Acme,” terms this feature native fractionalization. Despite its promising prospects, the ERC-404 standard isn’t official yet, and competing alternatives are already emerging. Notably, cygaar has been developing their DN404 standard, urging caution due to its alpha state. Pandora’s market capitalization experienced fluctuations, sinking to $137 million before rebounding to approximately $198 million. Amid the rise of ERC-404 tokens like DeFrogs and Monkees, Ethereum’s transaction fees have surged, reaching 74.47 Gwei before moderating to 61 Gwei, highlighting the growing interest in novel token standards within the Ethereum ecosystem.
Clever Robot News Desk 13th February 2024
