A new NFT index token has been released by the market by Cryptex Finance. The new index token is called JPEGz and it is going to be tracking the top 10 NFT collections in the market. The token retrieves data from multiple sources using Chainlink oracles, one of the best blockchain networks in order to get accurate data for smart contracts.
Cryptex Finance Launches JPEGz Index Token
A new NFT index token has been announced by Cryptex Finance. The token is currently powered by Coinbase and retrieves data from Chainlink through its oracles. According to a recent report released by Decrypt, the new tokens will help platforms, NFT holders and exchanges find a way to hedge their positions in a more efficient way.
Joe Sticco, the co-founder of Cryptex Finance, explained that the blue-chip collections were selected by Coinbase Cloud according to on-chain liquidity. At the same time, there were other things included such as parameters that excluded wash trading.
At the same time, those users and platforms holding an NFT position will be able to mint JPEGz tokens using MakerDAO’s DAI or Ethereum (ETH). The token will also be ready to be sold on other exchanges, including Uniswap, one of the largest decentralized exchanges in the market.
Non-fungible tokens became very popular a few years ago, especially in 2021, when the cryptocurrency market expanded to new highs. At that time, Bitcoin (BTC) entered a new bull market that pushed its price towards $69,000 per coin. Furthermore, the decentralized fiance (DeFi) market expanded as well with protocols like Uniswap or SushiSwap attracting a large number of on-chain users on top of Ethereum and other blockchain networks.
Non-fungible tokens became a thing as well. While most of the investors and users tried to get access to CryptoPunks and Board Ape Yacht Club, many other projects like CryptoKitties. But NFTs had many other implications, including assets that could be tokenized online.
With this new token created by Cryptex Finance, it will be easier for investors in the cryptocurrency market to get access and exposure to NFTs without directly purchasing them. A large number of users around the world would like to buy NFTs but they do not know how to do it or how to take care of them. Due to this reason, it is difficult for many of these users to get access to this market.
Nevertheless, thanks to the new JPEGz token, investors will have the chance to easily purchase their exposure to the NFT market, which has been growing in the last few years. It is also possible to expect a new bull run in the future. Usually, when cryptocurrencies move higher, other assets, including NFTs, also follow the trend. However, everything can change.
It is now a matter of time to see whether users will prefer to hold the real NFTs or if they would like to purchase a token that will give them exposure in order to diversify their portfolios.