Delegate.xyz supported in NFTX V3

Our thinking for the support of Delegate.xyz on the NFTX V3 is

• doesn't add gas to mints/redeems/swaps
• currently won't add any utility but is baked in to include delegate features in future product updates.
• supporting an industry standard for NFT utility.

In terms of actually making use of it for future product releases there are a number of issues to consider.

• democratizing the rights is a great idea in theory, but in practice this would likely be a fair bit more difficult
• the mere perception that inventory stakers and LPs retain rights of the NFTs in the vault can itself be hairy. NFTs can exit and enter the vault at anytime. Even if Alice inventory stakes tokenID 2 and gets the delegation rights for it, as soon as tokenID 2 gets swapped for another NFT it becomes more complicated who gets the rights for it, epecially given that some people are only staking vToken and/or fractional amounts
• giving the impression of "NFT staking" can cause upset users downstream, inventory staking and liquidity provision is really for financial mercenaries looking to stack capital
• One solution to these problems is to monetize it. For example, let people rent the delegation rights for the entire wallet for a week long and have those ETH proceeds go to the vault. As a financial mercenary just looking to stack capital (and not play games, etc.) this is preferable as it allows me to earn more passive income and let the market decide the value of those delegation rights

About Delegate.xyz

Delegate is the best solution to secure valuable onchain assets while still participating in NFT airdrop claims, ERC20 token governance, and more. Users link cold wallets with hot wallets, and then the hot wallet can act on behalf of the cold wallet, like crypto power-of-attorney.

It can be incorporated into login flows, token-gated minting & claiming, gaming actions, DAO governance, and more. By integrating the registry, your product improves by (1) derisking new user acquisition from those who have already delegated; (2) making it safer and easier for existing users to interact with your app from hot/mobile wallets without risking security. Get in touch if you're interested in using!

Next Steps

Define the real world application of Delegate.xyz for the assets within the V3 vaults with a focus on ease of use and maximising yield for liquidity and inventory providers.