# Introduction

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### What is NFT20?

NFT20 tokens are ERC-20 tokens that are backed 1:1 by ERC-721 or ERC-1155 NFT deposits on the smart contract.

NFT20 tokens can be verified directly on-chain.

NFT20 tokens make conventional NFTs "fungible" and trader-friendly.

With NFT20, you can buy, sell, and trade NFTs in whole or fractions as easily as any other ERC-20 token.

### Why is NFT20 Important?

NFT20 offers users the following benefits:

* **🧩 Fractionalization:** Traditional NFTs are too pricy? With NFT20 tokens, you can own parts of an otherwise expensive NFT.
* **🧭 Decentralized:** Completely trustless! Verify assets on-chain, don’t worry about KYC or regulations. Your keys, your NFTs.
* **🔁 Multi-asset Swap:** Trade without restrictions. Exchange your assets for any other coin or NFT20s, the sky's the limit.
* **💧 Liquidity Mining:** Become a liquidity provider and add to pools to earn fees (and more).

You can start trading NFT20s on the [**NFT-20.org**](https://bit.ly/nft20-gitbook) DEX. Just connect your wallet to get started.

The [**NFT-20.org**](https://bit.ly/nft20-gitbook) DEX is proudly powered by [**Tegro**](https://bit.ly/tegro-nft20-gitbook).