SD-001: NFTx Vault and SushiSwap LP

Overview: The Skellie Development team proposes the creation of an NFTx Vault for the Spectral Skellies collection, and an associated liquidity pool (LP) on SushiSwap for the Skellie vToken.

Background:

NFTX is a platform for creating liquid markets for illiquid Non-Fungible Tokens (NFTs).

Users deposit their NFT into an NFTX vault and mint a fungible ERC20 token (vToken) that represents a claim on a random asset from within the vault. vTokens can also be used to redeem a specific NFT from a vault.

Benefits include: LP and stake minted vTokens to earn yield rewards. Better distribution and price discovery for NFT projects. Instantly sell any NFT by minting it as an ERC20 and swapping via SushiSwap. Increased liquidity for NFT investors and speculators.

Details:

The Skellie Development team will fund the creation of an NFTx Vault. The initial pool fee structure will be:

• Mint fee: 0% (Seeding - first 20 Skellies), 5% (post Seeding)
• Targeted Redeem Fee: 5%
• Random Redeem Fee: 0%

The Skellie Development team will begin the seeding phase with 10 Skellies. After 10 additional Skellies (20 total in vault) are deposited by holders, the mint fee will rise to 5%. This fee will be used to reward those staking the vault.

Users can then mint vTokens (token name TBD) by depositing Skellies, and stake the in the liquidity pool on SushiSwap - they will earn fees for this staking.

Skellie vTokens can be sold directly on SushiSwap, or redeemed for a random or specific Skellie in the Vault. Redeeming a specific Skellie will result in a 5% fee.

Additional information about NFTx vaults can be found at: docs.nftx.io