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**MPL-404** is a new model for digital assets, web3 games, and onchain communities. At the core of the model is a swap program (**mpl-hybrid**) that trades a fixed number of fungible assets for a non-fungible asset and vice versa. The swap is a dual escrow system, ensuring that all available non-fungible assets are backed by escrowed fungibles and vice versa.
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The ability to freely move between fungible and non-fungible assets in a predictable way allows this new asset class (often called **hybrids**) to take advantage of the best aspects of both asset types. **Non-fungible assets can now benefit from the liquidity, distribution, and DeFi opportunities** associated with fungible assets. Conversely, fungible assets can now benefit from the improved utility, collectability, and identity that come from the non-fungible world.
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