Pi Protocol — NFT DEX

November, 29th: PIPX — Introduction

PIPX Vaults — a platform to create liquidity markets for Non-Fungible Tokens (NFTs).

How does PIPX work?

Users deposit their NFT into a PIPX Vault and mint a fungible BEP20 token (xToken) that represents a claim on a random asset from within the vault. xTokens can also be used to redeem a specific NFT from a vault.

  • LP and stake minted xTokens to earn yield rewards
  • Better distribution and price discovery for NFT projects
  • Instantly sell any NFT by minting it as a BEP20 and swapping via SushiSwap
  • Increased liquidity for NFT investors and speculators

Vault Creation

PIPX Vaults can be created by anyone for any NFT asset on Binance Smart Chain. (ERC721 & ERC1155 Contracts). Once a vault has been created, any user can then deposit eligible NFTs into the vault to mint a fungible NFT-backed token referred to as an “xToken”.

Minting xTokens

Anyone can deposit NFTs into an existing vault (or into the one they have created) in order to mint a fungible xToken that represents a 1:1 claim on a random NFT from within the vault.

Floor Prices

Users can then pool their minted xTokens in Automated Market Makers (AMMs) like SushiSwap to create a liquidity market for other users to trade. With liquidity and trading volume established, the NFT-backed xToken enters into price discovery and a “floor price” is discovered.


The PIPX vault allows any NFT to be deposited, however, other vaults use an eligibility list that only allows a specific sub-category of NFTs to be deposited. For example, the sCircle vault has an eligibility list that includes NFTs whose metadata is small Circle. Big Circles can not be deposited into this vault.

Who Benefits From PIPX Vaults?


NFTs in their basic form do not earn yield. However, when they are used to mint xTokens they can tap into the world of decentralized finance. To make it easy, collectors can use PIPX Vaults to unlock more value from their NFTs:

  • Earn trading fees as a liquidity provider
  • Earn fees as an inventory provider

Content Creators

By launching on the PIPX platform, content creators are able to earn trading fees in perpetuity while also increasing the reach and fairness of distribution:

  • Earn trading fees
  • Distribute NFTs via an AMM in the form of xTokens
  • Create instantly liquid markets for new content


NFTs are typically highly illiquid and difficult to price. PIPX Vaults make speculating and investing in the NFT market a far simpler process:

  • Access the most liquid markets for NFTs
  • Track the price of particular categories of NFT



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