Diviner Protocol Partnership with NFT Finance
Diviner Protocol has announced partnership with NFT Finance, a P2P platform allows borrowers to use NFT as collateral.
Project Overview
Vision
NFT Finance is a straightforward peer-to-peer platform for secured NFT loans . It enables individuals who need to borrow money to offer their assets as collateral, while lenders can propose to lend money in exchange for interest.
Who do they bring benefits to?
As a borrower, you can access instant cash for your digital assets without having to sell them, which can be helpful in situations where you need immediate liquidity but still want to hold onto your assets. This can be particularly beneficial for those who require additional capital to use within asset markets or for real-life purposes.
As a lender, NFT Finance allows you to participate in the hot NFT market . By lending capital and accepting NFTs as collateral, lenders can earn interest on successfully paid NFT loans. In the case of a default, the lender gains possession of the NFT being loaned against. This offers a new and improved way of lending for the NFT market and provides opportunities for lenders to earn yield.
Why they build NFT Finance
They’re so early in NFT Market
As of 2022, the total market capitalization of NFTs sits at ~$20 billion. However, most of these values are illiquid, and NFTs sit idly in wallets. Illiquidity in NFTs is a major point of user friction as users are:
- Unable to get immediate access to funding in times of emergency
- Unable to access liquid funds without selling their NFTs
The market opportunity of unlocking NFT’s liquidity is essentially the entire $20 billion NFT market – and given current aggregate lending volume for NFTs represents ~0.5% of total NFT market, assuming a common 30% market penetration, there is approximately a 60x growth potential in the vertical alone without accounting for any growth in the NFT market.
Beside that, some reasons that force us to build a lending/ borrowing platform on BNB chain
- NFT Finance will be a pioneer NFT Lending/ Borrowing platform on BNB chain
- More billion marketcap NFT Collections will appear on BNB chain soon as CZ knows how to make crypto industry in general and BNB chain specifically to be GREAT
About NFT Finance
NFT Finance is a straightforward peer-to-peer platform for secured NFT loans . It enables individuals who need to borrow money to offer their assets as collateral, while lenders can propose to lend money in exchange for interest.
About Diviner Protocol
Diviner Protocol aims to build a Metaverse “Diviner Harbour City” to offer users a gamified & diversified prediction marketplace.
SOURCE
https://twitter.com/DivinerProtocol/status/1643488229973458944
