jakiro
Author: Ryan Claj Source: DLNEWS Translation: Shan Ouba, Bitchain Vision Realm
summary
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The ERC404 token quickly became popular on Ethereum, of which Pandora project trading volume was as high as US $ 230 million.
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The top three ERC404 projects contributed 12%of Uniswap’s 24 -hour transaction volume.
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The boom of ERC404 triggers the concerns of “Rug Pulls” and high GAS fees.
Less than a week since ERC404 was founded, the transaction volume on Ethereum is now dominated by these hybrid tokens.
Since its launch on February 2nd, the total transaction volume of the top ERC404 series Pandora has exceeded $ 230 million.
The Pandora/WETH liquidity pool on the decentralized exchange is currently ranked third based on the transaction volume, second only to the stablecoin USDC/ETH and USDC/USDT.
The top three ERC404 projects -Pandora, Mnrch, and DEFROGS -the total transaction volume in the past 24 hours a total of US $ 113 million, accounting for 12% of the transaction volume of UNISWAP Ethereum.
ERC404 is the tokens on Ethereum, combining the characteristics of cryptocurrencies and NFT.It greatly improves the liquidity of NFT (the availability of funds), while NFT is usually a highly non -liquid asset.
When a user holds at least one ERC404 project, NFT will be automatically cast.Then, the user can sell tokens to destroy NFT, or you can also on OpenseaWait for the market to list NFT.
But the crazy transactions around ERC404 token also brought consequences.
There have been some stretching situation -the address of creating tokens has drove liquidity, allowing investors to have nothing — and the cost of natural gas on the Ethereum main network has risen.
ERC404 fanatical
As traders flocked to ERC404 tokens, some people have begun to use this boom.On Wednesday, a tokens called Punks rose from $ 350 to more than $ 20,000 in just two hours.Now, it is almost worthless.
This is because the wallet created to the tokens uses malware, which allows the creation of unlimited Punks tokens.Shortly after PUNKS reached $ 20,000, the controller of the wallet executed the contract, cast thousands of tokens, and sold it to the Punks/Weth UNISWAP pool.
Users who invest in the tokens have lost everything, and the creator’s wallet has received 42 Ethereum (about 100,000 US dollars).
In the past two days, similar events have also occurred in the other four ERC404 with PUNKS name variants.
ERC404 also led to the increase in the GAS cost of Ethereum.Given that the standard is too new, it has not been optimized for GAS costs.
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Trading Pandora ERC404 token spent Ethereum GAS cost
The GAS fee on Ethereum is a fee paid by users to send transactions.Ethereum aims to increase trading costs in busy periods to protect the network from spam attacks.
The founder of Pandora Collection recently said in the Telegram of the project that the next ERC404 improvement should reduce the GAS cost by 300% to 400%.
This may be welcomed by the Ethereum main network users.In the past 24 hours, the average GAS fee on the Internet was 53 GWEI, while the average value of the previous 7 days was 29 GWEI.
