NIFTIT is developing an application on the CRD Network that would allow you to create NFTs and partition them into multiple pieces, which are called “Fragments” or “Shards”.
These could be thought of as shares in a company, and their “market cap” (the number of fragments x their current price) represents the value of the NFT as a whole. Fragments can also be traded independently from each other on secondary markets (like Uniswap/SushiSwap or TacoSwap).
So instead of a single person controlling the whole NFT for months or even years at a time, there can be active and liquid markets 24/7.
Traditional NFTs are very illiquid assets, given their uniqueness. In other words, when a crypto-whale buys an NFT, chances are that it will not be on the market for a long time to come.
But this creates its own set of problems. After all, part of the element that drives the price of financial assets is the perceived demand thereof. In other words, when someone isn’t actively trading the items, they’re accidentally killing future demand for them.
The enthusiasm dies over time, and people move on to other assets. Besides that, what is the appropriate price of something once it hasn’t been on the marketplace for a long time? This is impossible to determine and might leave a lot of unsatisfied buyers and sellers over the long run as NFTs are popularized as investment vehicles.
By tokenizing NFTs and making portions of them available on secondary marketplaces you can have live valuations of your NFT Fragments.
If there is enough demand for it, you can always find buyers and sellers within this space, and you will instantly be able to determine what a fair price is for your NFT Fragments.
It can also make NFTs more affordable. For instance, there are Cryptopunk NFTs worth millions of dollars. Only a handful of people in the world are simultaneously wealthy enough and interested enough in Cryptopunks to purchase them.
As such, by fragmenting the NFTs and making them tradable, you can capture a far larger audience who might be interested and able to afford a Fragment thereof, but not the whole thing. Hence, ownership is collectivized and in time it might even become a status symbol to own a whole NFT by yourself.
NIFTIT is the next evolution of non-fungible tokens as it allows for more streamlined markets and the development of various NFT-based financial instruments (such as collateralized loans).