Ethereum NFT Lottery FWA V2 Launches, V1 Continues in Parallel

TokenWorks' Ethereum (ETH) based non-fungible token (NFT) lottery protocol Fake World Assets (FWA) has begun V2 purchases. V2 will operate alongside the existing V1. FWA V2's NFT purchase feature activated on the 16th, following earlier activation of staking functionality. This marks the start of transition to a new main pool system. Bankless reported that with FWA V2's shift to the new main pool system, customized pools and developer revenue features were introduced, though V1 will not be immediately discontinued.

FWA operates on a structure where stakers register both NFTs and ETH collateral, allowing buyers to pay the pool price for random NFT positions. Buyers can either hold assigned NFTs or accept buyback offers from stakers in ETH or FWA. Chainlink's verifiable randomness function is used for NFT allocation, with higher likelihood of selection for lower-priced assets in the pool.

V2 divides into a general NFT collection main pool and FWAIR (creator-focused), alongside customizable pools that operators can configure themselves. Customizable pools feature separate inventory, fees, and settlement rules. V2 also adjusts some withdrawal inconveniences raised in V1. General pool NFT collateral prices are capped at 10% above the collection's floor price. A 1% fee applies if a position exits the top 'Crown' slot within 12 hours. The FWA cashout rate increased from 90% of ETH base settlement to 92.5%.

FWA combines NFT ownership, collateral, random allocation, and buyback offers into an on-chain protocol. Earlier, FWA recorded over 17,000 ETH in cumulative trading volume after initial rewards ended. However, cumulative trading volume and draw counts are indicators of protocol activity rather than signs of broader NFT market recovery, as FWA's structure is distinct from general NFT markets.