# Item Fusion

<figure><img src="https://2349540395-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FUDJ537rFkOL7E95w6YTv%2Fuploads%2FCio5JOHIP58b7ZhwbuNe%2FPicture6.png?alt=media&#x26;token=b9c2ac39-f764-4484-9d58-98e83dd1bd0d" alt=""><figcaption><p><em>For illustrative purpose only</em></p></figcaption></figure>

NXPC is designed to be interchangeable with NFTs. NXPC can be exchanged for NFTs through **NXPC Fission**, as explained previously. Conversely, NFTs can be exchanged back into NXPC via **Item Fusion**.

The collection of NFTs exchanged for NXPC through Item Fusion is called a "**basket**." Each basket includes items that meet specific circulation-based eligibility criteria. Items with extremely low circulation won't qualify for the current basket but may become eligible for future baskets once their circulation reaches the required threshold. Each item in a basket comprises a fixed percentage of its maximum supply.

For example, consider an Item Pool containing Items A, B, and C with maximum supplies of 100, 200, and 300 respectively. If all three items are eligible and each basket requires 1% of each eligible item's maximum supply, a basket would consist of 1 of Item A, 2 of Item B, and 3 of Item C.

Upon completion of **Item Fusion**, the NFTs in the **basket** are removed from circulation and returned to the **Item Pool**. Participants receive NXPC proportional to their contributions in filling the basket (***Participation Rate***). The NXPC used for distribution comes from tokens previously locked (temporarily removed from circulation) through **NXPC Fission**, which re-enter circulation after the basket exchange.

**NXPC Fission** and **Item Fusion** work together to facilitate a flexible supply of limited NFTs based on ecosystem demand. This mechanism enables NXPC to function effectively as a token that provides optimal **RX** for players.

{% hint style="info" %}
*Important Details on '**Set'** and '**Basket'** Differences*

* *The collections of NFTs used in **NXPC Fission** and **Item Fusion** have distinct names and compositions.*&#x20;
* *In **NXPC Fission**, the collection is called a '**set**' and contains only available (remaining) items from the **Item Pool**.*&#x20;
* *In **Item Fusion**, the collection is called a '**basket**' and contains only items meeting specific circulation-based eligibility criteria. Items with extremely low circulation are excluded.*
* *For example, consider an **Item Pool** containing*
  * *Item A (remaining supply: 0 / maximum supply: 100), meets circulation threshold*
  * *Item B (remaining supply: 20 / maximum supply: 200), meets circulation threshold*
  * *Item C (remaining supply: 270 / maximum supply: 300), below circulation threshold*
* If each collection contains 1% of an item’s maximum supply:
  * A **set** from **NXPC Fission** includes remaining items from Item Pool: 2 units of Item B and 3 units of Item C
  * A **basket** for **Item Fusion** includes only items meeting the circulation threshold: 1 unit of Item A and 2 units of Item B (Item C is excluded)
    {% endhint %}


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