$50M Loans With NFT as Collateral Recorded in a Month

$50M Loans With NFT as Collateral Recorded in a Month
  • NFT lending platforms have grown, along with the billion-dollar market of NFTs.
  • Loan marketplace NFTfi released $185.4 in NFT loans since its launch.
  • Other NFT lending platforms like Arcade, Drops, and Flowty also contributed to reaching more than $50M in NFT loans over the past month.

NFT lending and borrowing showed steady growth in the last 12 months, according to analytics platform Dune Analytics. The Ethereum-centric analytics platform disclosed several projects that enabled NFT lending and borrowing over the last year.

NFT Loan Marketplace NFTfi 

The NFT collateralized loans marketplace NFTfi single-handedly offered for as much as $25.6 million in NFT loans.

In a tweet, Animoca Brands stated that its partnership with NFTfi has contributed to the billion-dollar growth of the NFT market via NFTfi’s lending platform.

During this month, the platform granted four loans that used Bored Ape Yacht Club and Autoglyphs NFTs as collateral.

BAYC’s 7813, 6276, and 371 were used as collateral to loan $100K, $150K, and $115K, respectively via the NFTfi platform. Furthermore, Autoglyph 231 NFT on OpenSea was used for a $200K loan.

NFTfi enabled $185.4 million of NFTs in accruing loan volume since the beginning of the market.

Arcade, Drops, and Flowty Lending Platforms

Aside from NFTfi, Drops NFT market offers direct loans for JPEG, Metaverse, and NFTs. Drops loaned for more than $6.7 million to date. 

DeFi platform Arcade has accumulated a $17.8 million loan from investors, such as Pantera Capital, Franklin Templeton Investments, and Protofund.

Flow blockchain network based Flowty has accumulated a $4.5 million loan from the company’s lead investors and 23 others.

The lending option for NFT owners has given convenience to those who don’t want to risk their property as collateral in borrowing money. As per the data of Dune Analytics, these NFT lending platforms have recorded $50 million in NFT loans for the past month.

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Bryan is a gamer who became genuinely interested in crypto after his initial exposure to Play-to-Earn games like Axie Infinity and Pegaxy. He has basic knowledge of technical analysis and is keeping an eye out for interesting developments in the metaverse and GameFi space.