The MEME project welcomes a Rebound, the BC 404 protocol brings new gameplay

Recently, the cryptocurrency market has shown a slow Rebound, and the MEME project has performed particularly well. For investors, this is a great opportunity to look for potential projects and plan for the future.

In this round of the bull market, MEME has become a focal point that cannot be ignored. Market funds have shifted from overvalued VC projects to MEME, creating a boom for MEME. In addition, the strong user base and consensus within MEME are also key factors for its favor in the market.

However, the market is currently primarily focused on homogeneous MEME tokens, with lower attention given to MEME in NFT form. NFT-based MEME tokens are limited by trading liquidity, but in terms of value representation, the widespread dissemination of MEME stems from these "small images". NFT versions of MEME play an important role in the ecosystem, but they have yet to encounter the right opportunity.

In this context, the ERC 404 protocol has attracted the attention of developers. ERC 404 is known as a semi-fungible token, possessing both fungible and non-fungible characteristics, allowing for splitting and merging. A certain protocol has optimized this and launched BC 404, bringing new application scenarios to the industry.

The core concept of this protocol is to "color" homogeneous tokens, adding images and other community elements to MEME coins, enhancing their dissemination and recognition, which is beneficial for MEME coins to gain a larger user base and value.

The protocol has launched a conversion pool, allowing users to convert homogeneous MEME tokens into semi-homogeneous tokens with NFT image attributes, enabling diverse gameplay such as display and trading. Users can also convert these tokens back to their original homogeneous form, with the entire process remaining unaffected.

Compared to ERC 404, BC 404 adds curve model binding functionality, introducing a generation curve model during the token generation process to achieve dynamic control over the token generation rate or quantity. This mechanism is similar to mining difficulty, gradually increasing the difficulty of generating new NFTs, thereby enhancing the scarcity and value of the tokens.

The characteristics of BC 404 include: NFTs corresponding to different quantities of fungible tokens; NFT ID numbers may not be consecutive; the transfer of fungible tokens will trigger the destruction of the corresponding NFT, creating a deflationary effect; new NFTs may generate a premium relative to fungible tokens.

The protocol has established partnerships with several well-known institutions to jointly expand application scenarios. Currently, the conversion activity between PEPE and COLORPEPE has been completed, with a total of 42 million COLORPEPE, 80% generated in the conversion pool, not held by the team, and 20% allocated for liquidity plans.

Although the protocol has not yet launched the mainnet tokens, it has introduced a points airdrop feature. Users who did not participate in the points activity still have the opportunity to receive an airdrop, such as the recent NFT airdrop event launched in cooperation with a certain platform.

Currently, this protocol focuses on empowering COLORPEPE and may continue to launch conversion activities for other popular MEME in the future. For users, the participation risk is relatively low, and there may be a high expected return.

Overall, the protocol does not create new MEME, but rather reprocesses existing MEME. Due to the characteristics of BC 404, users participating in the conversion pool have almost no additional minting costs but may receive a premium for the new NFT tokens. From a coin-based perspective, participants face minimal risk, as the value of the tokens after conversion is typically greater than or equal to the value of the original tokens.

The protocol is user-friendly, and new gameplay may emerge based on BC 404, which is beneficial for ecological activity. From the COLORPEPE event, it can be seen that the official intends to empower the converted tokens, providing more potential value for holders. Considering the possible airdrop in the future, this project is worth ongoing attention and participation.