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Announcing the Launch of JPG: An NFT Index

The Index Coop is thrilled to announce the highly anticipated launch of its game-changing NFT Index: JPG!

The JPG NFT Index provides broad exposure to blue-chip and premier NFT collections through a single liquid token. JPG is composed of fungible versions of NFTs such as fractional NFTs, NFT liquidity vaults, NFT curation DAOs, NFT currencies, and wrapped NFTs. Additionally, JPG provides governance rights to vote on the token protocol.

NFTs are a revolutionary cultural, artistic, and financial phenomenon. However, to date, it has been very difficult to gain access to top NFT projects due to the high degree of curation expertise needed, the low liquidity, slow transaction times, and the high entry costs. The JPG index token addresses these barriers by providing a fully-backed, diversified collection of blue-chip and premier NFT collections through a single index token. All of the components of JPG are fully collateralized by and redeemable for fungible versions of NFTs and NFT collections. Through a unique curation model, the JPG token holders will vote on which future collections to acquire, adding additional value to JPG ownership.

In this post, you will learn:

  • The basics of the JPG Token
  • JPG Methodology
  • Explanation on the auction of index components
  • NFT raffle for LP providers

The Basics of the JPG Token

JPG is designed to provide liquid access to the top NFT collections through a single index token. The underlying tokens in the index are drawn from fractional and liquidity vaults, curation DAOs, and currencies. The tokens were selected based on having high liquidity and sufficiently high market cap.

NFTs Simplified

JPG is an index of NFTs represented by NFT vault tokens, curation DAO tokens, NFT currencies, and wrapped NFTs. The index consists of ERC-20 tokens exchangeable for or backed by NFTs.

JPG provides a portfolio of leading NFT collections with the convenience and liquidity of a single index token. Key advantages over holding individual NFTs include:

  • Broader diversification
  • Curation provided by the underlying protocols
  • Lower capital requirements
  • Higher entry and exit liquidity
  • Faster order fulfillment
  • Reduced transaction fees
  • Protocol governance provided by the JPG token

JPG allows holders to access the NFT market with all of the ease of an individual token.

JPG Methodology:

Like many Index Coop products, the JPG NFT Index relies on a methodologist to articulate the curation and inclusion criteria. The initial inclusion criteria for JPG included the following:

  • Token must provide a claim on, be collateralized by, or provide currency for NFTs.
  • NFTs must represent art or collectibles.
  • Market cap (circulating supply) > $2M. Sufficient underlying liquidity

Further inclusion decisions will be governed by Collectooors NFT holders and JPG token holders.

Explanation on auction of index components:

Certain components of JPG contain NFT collections which may go to auction. In the event of an auction, the price action would become very volatile until the auction is completed. The price will become very volatile during the auction since liquidity providers of the underlying components may remove their liquidity in order to avoid interfering with the auction bidding. As a result, certain price feeds for the token could stop which would temporarily impact the index token spot price until the auction is completed. Also the inability for arbitrageurs to mint and redeem the token due to the lack of underlying liquidity could cause substantial price-NAV (Net Asset Value) deviation.

Index Coop will communicate the start and outcome of any auction. At the end of a successful auction, the index will claim the auction proceeds. The proceeds would then be reallocated according to the JPG Governance Council.

NFT Raffle Program:

In addition to the exposure, JPG will offer its index holders, Index Coop has created The Index x @cafpunk Collectooors collection! Index Coop will be airdropping 30 of the Collectooors NFT Collection as part of a first of its kind liquidity mining campaign. By simply holding JPG-ETH LP in your address you will automatically be eligible to win a free NFT every day. There's no need to stake your LP anywhere. Every LP provider will have an equal chance to win as long as the minimum amount of 0.01 ETH is met. In order to foster a collaborative community, there will be a maximum of one NFT per address.

Eligible LPs: Uni v3 Pool & G-uni

Fees:

JPG will have a streaming fee of 5.95%, Mint fee of 0.5%, and Redeem fee of 0.5%

How to Buy / LP:

Buy:

Index

Uniswap

LP:

In addition Index Coop has seeded a JPG / ETH pool on Uniswap v3.

Token holders are also able to provide liquidity through the G-uni pool (powered by Gelato, which manages the LP position parameters for you. Please note that this is a third party service and that the Index Coop does not control this g-uni pool.

Uni v3 Pool

G-uni

JPG contents and valuations:

More Resources:

Disclaimer: This content is for informational purposes only and is not legal, tax, investment, financial, or other advice. You should not take, or refrain from taking, any action based on any information contained herein, or any other information that we make available at any time, including blog posts, data, articles, links to third-party content, discord content, news feeds, tutorials, tweets, and videos. Before you make any financial, legal, technical, or other decisions, you should seek independent professional advice from a licensed and qualified individual in the area for which such advice would be appropriate. This information is not intended to be comprehensive or address all aspects of Index or its products. There is additional documentation on Index’s website about the functioning of Index Coop, and its ecosystem and community.

You shall not purchase or otherwise acquire our restricted token products if you are: a citizen, resident (tax or otherwise), and/or green card holder, incorporated in, owned or controlled by a person or entity in, located in, or have a registered office or principal place of business in the U.S. (defined as a U.S. person), or if you are a person in any jurisdiction in which such offer, sale, and/or purchase of any of our token products is unlawful, prohibited, or unauthorized (together with U.S. persons, a “Restricted Person”).  The term “Restricted Person” includes, but is not limited to, any natural person residing in, or any firm, company, partnership, trust, corporation, entity, government, state or agency of a state, or any other incorporated or unincorporated body or association, association or partnership (whether or not having separate legal personality) that is established and/or lawfully existing under the laws of, a jurisdiction in which such offer, sale, and/or purchase of any of our token products is unlawful, prohibited, or unauthorized).

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