Dogecoin (DOGE/USD) has grown to be bigger than ever earlier this year, and it still continues to attract attention and make headlines months after hitting its ATH. The most recent development regarding the coin, however, is actually not about the coin itself, but rather about a $4 million-worth Doge meme NFT.
According to recent reports, the NFT will soon be auctioned off. But, before that happens, it will be broken into small pieces, fractionalized into 16,969,696,969 ERC-20 tokens, and split among those willing to own its fractions.
Doge NFT is getting split and offered to collectors
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The original Doge NFT was previously owned by Atsuko Sato, who is also the owner of the iconic Shiba Inu which started the Doge meme all those years ago. Atsuko Sato decided to sell the Doge NFT earlier this year, in June, and he did so for 1696.9 ETH, which is around $4 million.
The NFT’s new owner became PleasrDAO, which now plans to offer it to the community starting today, September 1st, at 5 pm UTC. The decentralized autonomous organization that focuses on art pieces has decided to split the NFT into 16,969,696,969 ERC-20 tokens, each of which will be named “$DOG.”
The project explained that not all of it will be available for sale at once. In fact, initially, only around 20% will be offered. The sale itself will be hosted on Miso, a well-known open-source smart contract platform. Following its launch, $DOG will become available for trade on DEXes like SushiSwap and Uniswap, as well as on fractional.art.
$DOG use cases
The project has come to the conclusion that the Doge NFT has yet to reach its full potential and its maximum price. So, splitting it into $DOG tokens will allow collectors to buy the tokens at a low price, and then watch it increase in time. In the meantime, holders will also be able to vote on the future value of the NFTas a whole, as well as select a date for the re-auction.
One thing to note is the regulatory standpoint of fractionalized NFTs. Even SEC commissioner Hester Peirce, known under the nickname of Crypto Mom due to her support of the industry, warned NFT issuers to be careful when selling fractional interests. There is a possibility for them to be considered investment products, which could mean future trouble.
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