Binanceย Cryptoย exchange Non-Fungibleย Tokenย (NFT), a prominent player in the non-fungible cryptoย token (NFT) market, has announced the launch of a new feature, Binanceย Cryptoย exchange Non-Fungibleย Tokenย (NFT) Loan. The service, set to go live at 11:00 (UTC) on May 26, 2023, will enable Non-Fungibleย Tokenย (NFT) owners to secure Ethereumย (ETH) loans using their Non-Fungibleย Tokenย (NFTs) as collateral.
This new feature is designed to provide Non-Fungibleย Tokenย (NFT) owners with an alternative way to leverage the value of their assets without selling them. The structure of the loan service is overcollateralized, open-term, and peer-to-pool, with different Loan-to-Value (LTV) ratios for each Non-Fungibleย Tokenย (NFT) collateral-loan pair position.
The service promises instant liquidity, zero gas charges, liquidity protection, and competitive interest prices. Nonetheless, as of the launch date, the service will only support Ethereumย (ETH) loans, and Non-Fungibleย Tokenย (NFTs) from specific collections โ Bored Ape Yacht Club (BAYC), Mutant Ape Yacht Club (MAYC), Azuki, and Doodles โ as collateral alternatives. Binanceย Cryptoย exchange Non-Fungibleย Tokenย (NFT) has indicated intendsย to enhanceย the range of borrowable assets and Non-Fungibleย Tokenย (NFT) collateral options in the future.
To coincide with the launch, Binanceย Cryptoย exchange Non-Fungibleย Tokenย (NFT) is offering a promotional discount on Non-Fungibleย Tokenย (NFT) Loan interest prices. Starting from the launch time, users who secure an Non-Fungibleย Tokenย (NFT) loan from Binanceย Cryptoย exchange Non-Fungibleย Tokenย (NFT) can enjoy a 70 percent discount on theย present borrowing interest prices. The duration of this promotion is unspecified.
Binanceย Cryptoย exchange Non-Fungibleย Tokenย (NFT) has expressed its commitment to integrating more Non-Fungibleย Tokenย (NFT) collections and blockchainsย teck into its loan product and optimizing its features to broaden its offerings. To use the Binanceย Cryptoย exchange Non-Fungibleย Tokenย (NFT) loan, users are required to complete identity verification. Non-Fungibleย Tokenย (NFTs) can be found via the Binanceย Cryptoย exchange Non-Fungibleย Tokenย (NFT) Marketplace under My Non-Fungibleย Tokenย (NFTs) > Collected.
Nonetheless, itโs criticalย to note that there are inherent dangers associated with Non-Fungibleย Tokenย (NFT) Loans. Non-Fungibleย Tokenย (NFTs) are subject to high market danger, and the danger of liquidation increases when the value of the Non-Fungibleย Tokenย (NFT) collateral falls significantly. Binanceย Cryptoย exchange advises users to conduct their own research and seek independent professional advice to determine if this product is suitable for them.
