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Potential Exploitation of ERC-404 Standard: Concerns Around Fractional NFT Transactions

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by COINS NEWS 185 Views

Has anyone considered the potential for exploitation in the ERC-404 standard's fractional buying and selling process? Specifically, the process involves repeatedly transacting small fractions of a token (e.g., 0.1 tokens) to continuously mint and burn NFTs until acquiring one with rare traits, which could then be sold at a higher price. This method seems to leverage the unique mechanics of the ERC-404 standard in a way that could potentially be manipulated. Is there a flaw in this understanding, or are there safeguards within the standard to prevent such exploitation? Curious to hear thoughts on whether this could be a viable concern or if I'm overlooking some key aspect of how the ERC-404 standard operates

submitted by /u/Gjors
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