A string instrument is provided having: a body with a sound hole; a neck extending from the body; a plurality of strings strung over the neck and sound hole; a plurality of frets positioned under the strings along the neck, a plurality of sensors positioned on the neck; and electronic circuitry associated with the sensors; characterized, in that each of the frets comprises separate individual fret sections each mounted over a corresponding sensor, thereby forming separate individual dynamic fret-activated sensors, each individual dynamic fret-activated sensor being positioned correspondingly under one of the plurality of strings. When a chord is played by applying finger pressure on the strings, pressure is applied on the corresponding individual frets activating the individual dynamic fret-activated sensors, which transmit the pressure data representing the played chord, via the electronic circuitry to a processor to produce an audio output comprising the played chord.