Binance Unleashes NFT Power: Get Quick Funds While Keeping NFTs Intact

• Binance has introduced a NFT loan feature which allows users to borrow Ethereum (ETH) without having to sell their NFTs.
• The platform leverages a “Peer to Pool” mechanism wherein Binance NFT acts as the loan pool.
• Binance plans to expand its NFT loan services in the future with new liquidity options for holders.

Introduction of Binance NFT Loan

Crypto exchange Binance has added a host of features, including a new non-fungible tokens (NFT) loan feature, making it a one-stop shop for NFT trading and financial services for the community. With this new feature, users are able to borrow Ethereum (ETH) without having to sell their NFTs.

Peer-to-Pool Mechanism

This loan feature from Binance specifically caters to those who are in need of quick funds but don’t want to part with their NFTs. The platform leverages a “Peer to Pool” mechanism wherein the Binance NFT platform will act as a loan pool. Additionally, Binance said that the platform will offer zero gas fees along with the ability to borrow ETH without selling assets. The amount of ETH users can borrow depends on the floor price of their respective NFTs and data is sourced from multiple sources such as OpenSea and Chainlink (LINK).

Supported Collections

As of now, the Binance NFT loan feature supports four well-known collections: Bored Ape Yacht Club (BAYC), Mutant Ape Yacht Club (MAYC), Azuki, and Doodles; more collections are expected soon. Mayur Kamat, head of products at Binance commented: “The innovative feature introduces the benefits of decentralized finance (DeFi) to the Binance NFT community.“

Expanding Services

Binance is planning on expanding its services for its customers by introducing additional liquidity options through its peer-to-peer lending protocol; this would allow them “to participate in the market without having to let go of their precious NFTs“. In order for this plan come into fruition, they’ll have compete against Blur — one of world’s largest trading platforms for non fungible tokens.

Conclusion

Non fungible tokens are becoming increasingly popular within cryptocurrency markets; however it was difficult until now for holders who needed quick funds yet wanted keep their assets intact. Thanks to new offerings from major players like Binance, holders can leverage DeFi protocols while maintaining ownership over their digital assets!

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