> For the complete documentation index, see [llms.txt](https://docs.pass.xyz/pass.xyz/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.pass.xyz/pass.xyz/dn-404/understanding-404s.md).

# Understanding 404's

Community & Liquidity

DN404 introduces a smart contract solution to address NFT fractionalization, liquidity, and fungibility by linking ERC20 tokens with ERC721 NFTs.

Passengers4040 NFTs are linked to $PASS tokens, with 1 Passengers4040 NFT equal to 100,000 $PASS tokens.

**Minting:** Each minted Passengers4040 NFT earns the minting wallet 100,000 $PASS tokens.

**NFT Trading:** NFT transfers result in the sender's $PASS balance decreasing by 100,000 and the receiver's $PASS balance increasing by 100,000.

**Token Swap/Trading:**

* Sender's $PASS balance reduces by the transfer amount. If the whole number part of the balance decreases, 1 NFT is burned for each whole number reduction, following a last in first out (LIFO) order.
* Receiver's $PASS balance increases by the transfer amount. If the whole number part of the balance increases, 1 NFT is minted for each whole number increment, also following a LIFO order.

**FAQs:**&#x20;

Q1. Do traits change when NFTs are burned or minted? A1.&#x20;

[No, traits remain consistent across burned or minted NFTs.](#user-content-fn-1)[^1]

Q2. How can I transfer tokens without losing my NFT? \
[Transfer your NFT to another wallet before initiating the token transfer.](#user-content-fn-1)[^1]

[^1]:
