Purpose and Ecosystem Role

In the Artinals ecosystem, the TRADE module serves as the advanced trading layer. While the SALE module enables fixed-price listings and direct purchases, the TRADE module transforms NFTs into tradeable assets within liquidity pools. This allows:

• Automated Price Discovery: Instead of fixed prices, the pool’s supply and demand dynamically influence the NFT’s price, similar to how AMMs price tokens.

• Liquidity Provision: Users can deposit NFTs and tokens into a pool to earn a share of trading fees, acting as liquidity providers (LPs).

• Price Oracles and TWAP (Time-Weighted Average Price): Use on-chain oracles to maintain stable, fair pricing and resist price manipulation.

• Integration with ART20: The TRADE module respects ART20’s rules on ownership, deny lists, and supply constraints. It operates on existing ART20 NFTs and user balances.

By operating alongside ART20 and SALE, the TRADE module completes the trilogy of NFT management: Mint and manage (ART20), sell (SALE), and trade (TRADE).