A collective of innovative developers has unveiled DN-404, their own version of the ERC-404 concept, blending ERC-20 tokens with NFTs to create a novel hybrid. Despite the enthusiasm surrounding its launch, one member of the team suggests it remains more a novel experiment than a practical solution.
In an ambitious move, this cadre of blockchain innovators has introduced DN-404, their take on the pioneering ERC-404 token standard, aiming for enhanced efficiency and reduced impact.
Originally deployed on February 2 by the Pandora team, the ERC-404 standard sought to merge the functionalities of ERC-20 tokens with those of NFTs. The initiative aimed to facilitate the fractionalization of NFTs, allowing for their division and reassembly, albeit with the intriguing possibility of the reassembled NFT being altered.
The introduction of the tokens, however, led to an uptick in Ethereum network transaction fees. In an effort to mitigate this, the new developer group believes their DN-404 model significantly improves on the original, potentially lowering transaction fees by an estimated 20%.
Introducing DN-404
Unveiled on February 12, DN-404 was designed to address the challenges of the ERC-404 standard while minimizing its impact on network fees.
“ERC-404 aimed to merge the functionalities of fungible and non-fungible tokens within a single contract, a goal that inherently comes with vulnerabilities and standard deviations,” remarked cygaar, a developer who prefers to remain anonymous. “Our method employs two distinct contracts – a foundational ERC-20 and a corresponding ERC-721 ‘mirror’.”
This bifurcation into two conventional contracts might alleviate some of the original model’s complexities. “Ultimately, this ensures that both the ERC-721 and ERC-20 contracts not only exist independently but operate efficiently on a shared 404 framework,” explained quit, another anonymous developer involved in the project.
The team has cautioned that their code remains unaudited, presenting certain risks, and notably, they have not deployed their hybrid token-NFT utilizing this new code.
“While creating 404 was immensely enjoyable, I regard it primarily as an inventive, albeit gimmicky, endeavor. Nonetheless, given the community’s interest in exploring its potential, we felt compelled to develop an iteration that was both efficient and secure,” shared quit.
