Non-Playable Coin (NPC) Tokenomics

Non-Playable Coin (NPC) is a hybrid digital asset that introduces the concept of Meme-Fungible Tokens (MFTs). It is designed to function simultaneously as a fungible memecoin and a non-fungible token (NFT), bridging the gap between decentralized finance (DeFi) and the NFT market.

Issuance Mechanism

NPC was launched on the Ethereum network in 2023. The project utilizes a unique dual-standard approach, combining the ERC-20 (fungible) and ERC-1155 (non-fungible) standards. This hybrid structure is codified in a new standard referred to by the developers as ERC11.

The issuance is characterized by the following:

• 1:1 Backing: Every NPC token is backed by an NFT of the NPC meme.
• Transform dApp: Users can convert their assets between the ERC-20 memecoin form and the ERC-1155 NFT form at a 1:1 ratio using a dedicated decentralized application.
• Supply Cap: While the total supply of the base NPC token is high to facilitate memecoin trading, the specific "Non-Playable Customs" PFP collection was limited to a supply of 155,443, matching the number of PEPE holders at a specific timestamp in February 2024.

Allocation and Incentive Mechanism

The project is presented as an open-source art experiment with a decentralized distribution model. Key aspects of its allocation and incentives include:

• Community-Centric Distribution: The project explicitly states there is no formal team, no roadmap, and no private investors. This suggests that the supply was distributed primarily through market mechanisms rather than structured team or advisor allocations.
• Burning Mechanism: During the minting phase of the "Non-Playable Customs" NFT collection, each custom creation cost 1 NPC to mint. This NPC token was subsequently burned, effectively removing it from the circulating supply and creating a deflationary pressure tied to the creation of unique on-chain art.
• Liquidity: As an MFT, NPC is designed to be highly liquid, tradable on decentralized exchanges like Uniswap in its ERC-20 form, and on NFT marketplaces like OpenSea or Magic Eden in its ERC-1155 form.

Usage and Utility

The primary utility of NPC is centered around cultural participation and artistic expression:

• Meme-Fungible Utility: It allows "liquid JPEGs" to be traded with the ease of a memecoin.
• Customization: The "Non-Playable Customs" app allows users to create unique versions of the NPC meme. These PFPs are unique on-chain, with no duplicates possible.
• Experimental Use Cases: The developers have launched "experiMINTs" to showcase the ERC11 standard, such as "Biden v. Trump" (a two-sided memecoin) and "Groge" (a memecoin backed by audio media).

Locking and Unlocking Mechanism

Unlike traditional venture-backed protocols, Non-Playable Coin does not have a publicly disclosed vesting schedule or locking mechanism for a "team" or "investors," as the project claims to have neither.

The project is described as having no intrinsic value and is intended purely for entertainment purposes, with the "I support the current coin" motto serving as a homage to the 2018 NPC meme.