April 27, 2022

By using this website, you acknowledge that you have read and accept this Disclaimer in addition to Fractional.art’s Terms of Use and Privacy Policy.


Fractions (fractional ownership tokens) are intended to increase participant access to collectable, provable ownership of digital goods built on innovative technologies and expand their respective collector communities. Fractional does not support or condone the creation, buying, or selling of fractions as a means of investment.

The Fractional Token Company (referred to here as ‘Fractional’) provides a gateway and interface to interact with the Fractional protocol, which is a smart contract decentrally hosted and deployed on Ethereum mainnet, accessible to anyone with access to the Ethereum blockchain.

Fractional does not operate any marketplace or exchange for the purchase or sale of fractions. All purchases and sales of fractional tokens are consummated on third party applications, which Fractional does not operate, own, or control. Additionally, Fractional does not provide or control liquidity for any fractions. Please exercise caution when purchasing fractions as liquidity may be low.

As a user of Fractional, you are responsible for your transaction decisions when you create, mint, buy, sell, or transfer any NFTs or fractions which represent NFTs. Fractional does not centrally store, host, custody or manage any NFTs, NFT metadata, liquidity pools (LPs), automated market makers (AMMs), or trading markets for fractions.

Similarly, Fractional does not collect any transaction fees, and does not buy, sell, mint, own, issue, transfer, aggregate or distribute NFTs or fractions of NFTs. All fractionalization activity and fractional transactions are performed via smart contracts and directly between NFT owners interacting with the protocol and third-party APIs built into the site which connect to existing third-party intermediary platforms (e.g., OpenSea, Uniswap).

User Responsibility

Please consult and work directly with tax, legal, and financial professionals before making any decisions related to the purchase, sale, minting, owning, issuance, transfer, buy out or distribution of an NFT or fractions of an NFT.

The Fractional Token Company, its officers, directors, employees, consultants, advisors, stockholders, and community representatives are not registered financial advisors. All opinions and information shared on Twitter, Discord, blog posts or through other public channels are those of the respective individuals alone. Nothing discussed by employees of Fractional should be relied upon as financial, investment, tax or legal advice.

Additionally, Fractional does not control, govern, or maintain responsibility for:

  • Who can fractionalize NFTs
  • Which NFTs can be fractionalized
  • The total supply of fractions minted
  • The reserve price, fraction supply, or token name associated with new and existing vaults
  • The intermediary platforms, or networks, through which fractions can be transferred, purchased, or sold
  • The intermediary platforms and methods vault creators utilize to distribute and manage their fractions
  • The methods and messages by which vault creators may choose to market their vaults and distribute fractions (e.g., giveaways, ads, media, descriptions)
  • The methods and manner in which fraction owners transfer or manage their fractions
  • The outcomes resulting from any of the activities and decisions listed above

By buying and owning fractions, you acknowledge and accept that:

  • The fractionalized digital goods may fluctuate in value in unpredictable ways
  • Fraction supplies may have an annual supply inflation (i.e. curator fee) distributed to the curator, which is a depreciating mechanism on the value of the fractions. Owners of fractions are not guaranteed, nor should expect, any net value appreciation of the underlying NFT collectable or fractions or any protections against loss in value
  • Triggering an auction is the mechanism to re-unify the NFT(s) for someone to acquire an entire vault, and this cannot be halted or stopped once it is triggered
  • Fraction holders are responsible for helping to set the reserve price at which a buyout may be initiated and absent such participation, a vault may proceed to auction at a price that is less than a fractional token holder desires
  • Past price and purchasing activity trends are not indicative of future trends, and are not a proxy for historical or projected future valuation of any specific NFT or fractional ownership tokens

Ownership of Fractional Tokens

Ownership of fractional tokens may grant certain rights as it pertains to a particular fractionalized NFT project. Prior to purchasing a fractional token, users should understand what rights, if any, are granted to them by virtue of ownership.

Fractions are not:

  • Currency, legal tender, or money
  • An investment (whether secured or unsecured), equity interest, proprietary interest or economic right; or
  • Equity, debt or hybrid instrument, security collective investment scheme, managed fund, financial derivative, futures contract, deposit, commercial paper, negotiable instrument, investment contract, shares, note, bond, warrant, certificate or instrument entitling the holder to interest, dividends or any kind of return, nor any other financial instrument or security

Fractions are not guaranteed or secured by any person, asset or entity in any way. Fractional is not under any obligation to issue replacement fractions if fractions are lost, stolen, destroyed, or otherwise inaccessible for any reason.

Copyright © 2022 fractional.art. All rights reserved.