hiBAKC represents an innovative approach in the digital asset space, functioning as a Non-Fungible Token Exchange Traded Fund (NFTETF). This token is intricately linked with the Bored Ape Kennel Club NFTs, offering a unique method for investors to engage with the world of non-fungible tokens. By holding hiBAKC tokens, investors indirectly hold a stake in a diversified pool of Bored Ape Kennel Club NFTs. This is facilitated through an on-chain meta-swap pool that operates on the Fracton Protocol's smart contracts, ensuring a decentralized and permissionless environment for users.
The structure of hiBAKC allows for a fractional ownership model. Specifically, each hiBAKC token represents a 1/1,000,000 share of a Bored Ape Kennel Club NFT within the pool. This model democratizes access to high-value NFTs, which might otherwise be out of reach for the average investor due to their high individual market prices. The process to redeem Bored Ape Kennel Club NFTs from hiBAKC tokens is streamlined, with a minimal redemption fee of 0.6%, further enhancing its accessibility.
The circulating supply of hiBAKC tokens directly correlates with the number of Bored Ape Kennel Club NFTs in the meta-swap pool, without a predetermined hard cap. This dynamic supply mechanism ensures that the token supply is always reflective of the underlying NFT assets.
Security is a paramount concern for any digital asset, and hiBAKC addresses this through its foundation on the Ethereum blockchain. Being an ERC-20-compatible token, hiBAKC benefits from the robust security measures of Ethereum's network, which is among the most secure blockchain platforms.
For those interested in acquiring hiBAKC tokens, they are accessible on a variety of trading platforms. Both decentralized and centralized exchanges offer hiBAKC, providing multiple avenues for potential investors to participate in this unique NFTETF.
It's important for investors to conduct thorough research and consider their investment goals and risk tolerance when exploring emerging digital assets like hiBAKC.