ART OF THE FLYWHEEL: TokenWorks’ New Index Strategy Coin Will Buy NFTs Across All 500 Art Blocks Collections!

The place “where algorithms become art” is about to collide with “a playground for onchain ideas,” as TokenWorks prepares to launch a first of its kind Index Strategy Token focused entirely on Art Blocks!

On Wednesday, TokenWorks announced that it plans to bring flywheel mechanics to the digital art scene in early 2026 with $AB500STR, a new index strategy token that perpetually purchases works from all 500 Art Blocks collections on a continuous loop.

 

 

Like other strategy coins, $AB500STR will be powered by a smart contract that uses trading fees to purchase NFTs. But instead of focusing on a single collection, like previous protocols, $AB500STR will cycle through all 500 Art Blocks collections indefinitely.

 

By rotating which collection to purchase from, the Strategy is able to buy assets that may dramatically vary in price,” Token Works’ Rhynotic wrote. “There is a 3 day window to buy an NFT from each collection starting with the first AB500 collection: Squiggles. If 3 days pass, or if an NFT is successfully purchased, the Strategy moves on to buy from the second AB500 collection: Genesis The Strategy will loop over all 500 collections and restart from the beginning. This also prevents the Strategy from only buying the cheapest collection and from getting stuck when no pieces are available.”

 

As the Gazette has previously reported, Art Blocks has long been a leader in the onchain art world, with collections like Fidenza and Ringers selling at major auction houses and Squiggles recently entering the Museum of Modern Art.

 

Looking ahead, TokenWorks plans to launch the new strategy token sometime this January, with the broader goal of making index strategy coins an entirely new genre of flywheel tokens.

 

“We believe these contracts could be used as a conceptual basis of new forms of art and are excited to see what artists decide to utilize the technology for,” Token Works wrote. “If you’re an artist and are interested in launching an IndexStrategy to cover all of your collections, feel free to reach out to @rhynotic.”

 

The Gazette will continue to follow the flywheels popping up across Web3 and will let you know when and how you can ape into $AB500STR. Stay tuned for updates.