deNFT Onlyups.xyz is ready to disrupt the NFT market with its upward moves
London, United Kingdom – (NewMediaWire) – August 1, 2022 – Onlyups.xyz, a deNFT that can only be traded on the OpenSea NFT marketplace, has debuted to disrupt the NFT world. The onlyups.xyz tokens use DeFi technology while using hardcoded line-goes-up-forever price curves. OnlyUps.xyz, as the name suggests, deNFTs (DeFi NFTs) are locked to do only one thing: go up.
The lead developer of the project Daniel (@danie1) described OnlyUps as an implementation of positive sum game theory and a “first real DeFi on OpenSea”. He added that the token uses a new version of the OpenSea contracts that unlock the DeFi capability of the market. Daniel noted that the OnlyUps collection has some interesting game-theory underpinnings that support the DeFi experiment: each sale represents a step toward convergence to a continuously shifting equilibrium point.
Since OnlyUps is locked only to OpenSea transfers (buy/sell), the only strategy available to the holders is to maximize each other’s payout. He further commented that Conceptually, OnlyUps should be perceived as a DeFi non-fungible CD (Certificates of Deposit) instruments that continuously accumulate value for the holders over time.
DeFi NFTs are quickly becoming a separate and wildly functional subsection of crypto as the deNFT wave gains traction among the DeFi community. deNFTs are rare crypto collectibles that live on the Ethereum blockchain, backed by the ERC-721 standard used in popular blockchain games such as CryptoKitties, Axie Infinity, and Cryptovoxels. deNFTs have three attributes that determine their overall value and rarity within a given deNFT universe: side stakes, traits, and wearables.
For example, each ERC721 deNFT can manage an escrow contract address that holds a loan service-backed ERC20 security, or “aToken”. aTokens generate returns via a LendingPool, which increases the amount of aTokens held in the wallet. Thus, the amount of aTokens held in deNFT’s escrow address grows over time.
The valuation of a deNFT comes from both its intrinsic value and its rarity value.
Net value is the denominated value of the pledged collateral. For example, if deNFT is staked with 10 aDAI, the intrinsic value will be 10 aDAI, plus the additional aDAI accrued from the lending pool. Initially, only ERC20 tokens listed on the Aave platform (aTokens) will be available as collateral. But when the deNFT DAO is launched, the community will be able to vote on which new securities should be allowed.
Rarity value is determined by calculating the rarity of each of the deNFT traits and equipped wearables in the deNFT ecosystem. Unlike other NFT games, rarity is not a fixed value in deNFTs. That may change over time as deNFTs level up and equip different wearables. Thus, a rare deNFT can become common one week, and vice versa, depending on the general distribution of properties and wearables in the deNFTs universe. This enables a new concept known as “rarity farming”.
Currently, OnlyUps.xyz is considered to be one of the two blue-chip tokens riding on the DeFi-on-NFT (deNFT) trend: along with another AAVE-based return-generating NFT, these NFTs feed on- chain DeFi ecosystems under the hood of their corresponding tokens. In a broader context, this DeFi total value locked (TVL) metric also saw an uptick this week – up 1.84% to a total TVL of $90.38 billion.
Productive assets like these promise to bring utility to the world of Bored Apes and CryptoPunks. Whether or not this latest upcoming trend of deNFTs captures a significant share of the larger NFT market remains to be seen.
About Onlyups.xyz
OnlyUps.xyz, as the name suggests, deNFTs (DeFi NFTs) are locked to do only one thing: go up.
Visit OnlyUp’s opensea page here: https://opensea.io/collection/onlyups
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