What the Frac

Problem Statement

'- User locks ERC721 and mints ERC20 tokens representing fractional NFT ownershipUser creates an auction for the NFTUser can optionally distribute fraction tokens through a dynamic balancer poolOnce the auction is complete, the winning bidder can claim their NFTAnyone who holds fraction tokens can claim their portion of the winning bidHow our Balancer Pool worksSeeded with 2% DAI and 98% Fraction tokenOver the defined time period, flips to 98% DAI and 2% Fraction tokenArbitrageurs can “poke” our contract to update pool weights, creating an arbitrage opportunity for themselvesOnce the flip is complete, the owner can pull out all liquidity, (98%) DAI. They have effectively sold fraction tokens for DAIFuture WorkProvide more options for composing our toolsUpon fractionalization create a thin DAO that is able to decide when to create an auction, when to sell tokens, etc.Create tools for fund managers to create funds of fractional tokens, which themselves could have fractional ownershipMedium post introduction to What the Frac https://medium.com/whatthefrac/introducing-what-the-frac-98f3f2750eb7

Solution

We used solidity, Rimble, React, Redux, Netlify, Balancer, the graph, and Metamask. There is a smart contract called Fracker.sol that has the following functions:fractionalize, this pulls in the NFT, pulls in the DAI if necessary, creates the auction and seeds the balancer poolpoke: allows an arbitrageur to update the weights of the balancer pool (currently not exposed in ui)bid: self explanatorysettle: which returns liquidity from the balancer pool, sends the NFT to the winnerclaimProceeds: allows the user to claim the tokens they won in the auction by being a fractional ownerOur The Graph subgraph pulls in all the fractionalized tokens from the events emitted allowing a complete list to be displayedNetlify hosts our dappRimble, React and Redux are our UIBalancer is used to sell tokens as described.IT IS IMPORTANT TO NOTEthat at the time of writing (Saturday May 23rd) our project is not completely complete. The UI to claim proceeds won in an auction is not hooked up to the backend, and there is no UI for the balancer pool, only the smart contract logic.