Gate NFT kicks off NFT liquidity pools, starting with MAYC and Azuki fractional assets

Gate.io, has launched its new Automated Market Maker (AMM) this week, along with its dedicated NFT liquidity pool. Between these two launches, buyers and sellers can readily trade NFTs without reaching a two-party price agreement.

Upon launch, Gate NFT opened trading on its four pools, featuring the likes of Mutant Ape Yacht Club and Azuki’s fractional NFTs. Currently, the feature supports USDT for buying and selling NFTs.

What sets Gate.io’s products apart is the level of accessibility it provides to buyers and sellers. For conventional markets, a lot of time and capital is dedicated to both buyer and seller agreeing on a specific price, while sifting through multiple individual offers.

While this enables a lot more agency to both sides, it impacts how liquid an NFT market can really be. This issue is where Gate’s liquidity pools come in.

AMMs are the same tech that decentralized exchanges are built on. They allow traders to buy and sell assets using liquidity pool (LP) smart contracts. Liquidity pools consist of two different assets that make up its trading pair, enabling traders to swap one asset in the liquidity pool for another instantly. In addition, anyone can create an LP and earn from transaction fees, provided they have assets to commit to the pool.

Using liquidity pools on Gate NFT, an LP provider can create or participate in a pool that consists of NFTs from a particular collection paired with another cryptocurrency. Traders could then buy or sell within that pool, with the price determined instantly and automatically based on known parameters.

AzukiFractional NFTsGate NFTGate.ioMAYC