The core of the All-Art Protocol are the first decentralized NFT swap pools running on Solana.
The Protocol is designed to provide a paradigm shift in the art market. Its main goal is to transform an illiquid niche market into a global phenomenon, where collecting art is available to everyone and the use of art is well-defined and in line with current regulations on copyright and art law.
By implementing core ideas behind DeFi, the All-Art Protocol enables NFTs to become a liquid asset class. It gives liquidity to tokenized art by introducing a novel type of liquidity pools called cAMMs - Capped Automated Market Makers. These liquidity pools are the basis for a new infrastructure that will power an art market evolution.
In order to achieve this, the All-Art Protocol is introducing a new standard, the NFT-PRO. This new standard solves a major shortcoming of the current NFT model by embedding license rights into art registered on the blockchain through tokenized fractions called LORTs (License Ownership Right Tokens). Every creator of an NFT-PRO defines how many LORTs an NFT-PRO is split into, which license rights are embedded into that artwork and how many LORTs represent a certain license right.
The liquidity provider for NFT-PRO pools is a new coin - ART. It’s the glue that connects all NFT-PRO pools powering this infrastructure. The All-Art Protocol creates cAMM pools for NFT-PROs with LORTs and ART coins, thus giving liquidity to each NFT-PRO.
With ART coins as the collateral in all pools, swapping NFT-PRO LORTs between pools is easy and creates an omnipool of all NFT-PROs.
The All-Art Protocol runs on a new superior blockchain, Solana, which delivers four key benefits that are missing on Ethereum or similar clones:
Blazing speed and cheap transactions running on L1
Low energy consumption
Upgradable smart contracts
The goal of the Protocol is not only to move the NFT space to Solana, but to create a more advanced infrastructure while doing it.