$8M Loan Issued, Backed By NFTs
frens, NFTs have been a hot topic in the cryptocurrency space. With more and more major brands and companies jumping into creating Non-Fungible Tokens, they are still spreading like wildfire.
NFT Collateralized Loans
There's a few different platforms that are trying to bust into the space offering loans in ETH collateralized by NFTs. This means that if you happen to hold a high dollar NFT like a Crypto Punk or a Bored Ape Yacht Club, you can take a loan out against its value in wETH or DAI. If you default on the loan, you lose your NFT to the lender. NFTfi in partnership with Metastreet have just issued the largest loan backed by NFTs in history with an $8 million loan. This loan was issued to an anonymous NFT whale that put up 101 Crypto Punks as collateral for a 30 day loan at 10% APR. This means that the borrower must pay back $8.8 million within 30 days or they lose all 101 Crypto Punks. For a whale with that amount of high dollar NFTs, I'm sure $800,000 in interest is nothing for them so I highly doubt that it will default.
The NFTfi platform is very interesting. Instead of NFTfi being the ones to issue the actual loans, they just act as the platform to make it possible. Users are able to offer up their NFTs as collateral and lenders are able to accept the loan. It's a peer to peer loan between the borrower and lender. The NFTs used for collateral are locked in an escrow smart contract and only released if the loan is paid back. If the loan isn't paid back, the lender is able to unlock the contract and receive the NFTs, often at a huge discount. Platforms like this unlock a great use-case for high dollar NFT assets that they have never had before. Thought you were going to actually use your Crypto Punk for something? Nah. It literally just sits in your wallet. Well not anymore. You can use that bad by to take a loan to do degen shit with.
Think about this for a minute. Someone could theoretically take out a loan against their NFTs and buy a house. Instead of paying a bank a percentage and having to deal with the bank owning the house until the mortgage is paid off... That theoretical person could take this loan out and default on it. Then they have essentially used their Crypto Dicks to buy a house with no middle man. This is just another step toward taking the power away from the banks and giving it back to the users. Why the hell does a bank need to be involved if you want to buy something? We should either be able to deal with the seller directly and pay with whatever currency we please, be it crypto or whatever. There doesn't need to be a company involved nor a bank. We are slowly evolving toward a more decentralized future. What do you think about NFT collateralized loans?
Thanks for reading! Much love.
Links 'n Shit
| Play to Earn | Read emails, Earn Crypto | Get free crypto every day | Get a WAX wallet |
|---|---|---|---|
| Gods Unchained | ListNerds | PipeFlare | WAX.io |
| Splinterlands | GoodDollar | ||
| Rising Star | FoldApp |
Posted Using LeoFinance Beta
The people doing V2K with remote neural monitoring want me to believe this lady @battleaxe is an operator. She is involved deeply with her group and @fyrstikken . Her discord is Battleaxe#1003. I cant prove she is the one directly doing the V2K and RNM. Doing it requires more than one person at the least. It cant be done alone. She cant prove she is not one of the ones doing it. I was drugged in my home covertly, it ended badly. They have tried to kill me and are still trying to kill me. I bet nobody does anything at all. Ask @battleaxe to prove it. I bet she wont. They want me to believe the V2K and RNM in me is being broadcast from her location. And what the fuck is "HOMELAND SECURITY" doing about this shit? I think stumbling over their own dicks maybe? Just like they did and are doing with the Havana Syndrome https://ecency.com/fyrstikken/@fairandbalanced/i-am-the-only-motherfucker-on-the-internet-pointing-to-a-direct-source-for-voice-to-skull-electronic-terrorism
Effin A man!
!PIZZA
PIZZA Holders sent $PIZZA tips in this post's comments:
@flipflopcrypto(1/5) tipped @l337m45732 (x1)
Join us in Discord!
Well, that good indeed be a good idea to buy an NFT to use it as collateral to buy a house with. I think you gave some druglords a great idea here! :-)
Posted Using LeoFinance Beta
Just doing my part bro lol
Posted Using LeoFinance Beta