Referred to as Mix, brief for Blur Lending, the platform is meant to permit merchants to maximise NFT liquidity by permitting patrons to place up collateral for his or her token purchases. This may allow new patrons to enter the ecosystem who have been beforehand priced out of pricey collections like Bored Ape Yacht Club and CryptoPunk NFTs.
Simply as dwelling patrons put a down cost on a property after which pay a mortgage, Blur stated Mix will enable collectors to use the identical rules to NFT markets – they will put up a share of the total NFT worth and finance the remaining stability.
Blur posted a Twitter thread sharing the main points of the product, explaining how the product will assist open alternatives for lenders and debtors looking for to enter the market.
“Each trillion greenback market depends on financialization to scale,” said Blur in a tweet. “Many could need to purchase into a set, however only a few can afford to pay it suddenly. The answer is NFT lending.”
Blur stated the product was created in collaboration with Dan Robinson, head of analysis at enterprise capital agency Paradigm and investor in decentralized trade (DEX) Uniswap model (v)3, alongside pseudonymous analysis affiliate Transmissions, who has beforehand contributed to constructing {the marketplace} protocol Seaport. Paradigm is the lead investor in Blur.
In keeping with the thread, Mix may have no charges for merchants or lenders, pushing the Blur model additional into the world of decentralized finance (DeFi).
“Mix is a versatile and permissionless floating-rate lending protocol that may assist arbitrary collateral with no oracle dependencies, and permits no matter rates of interest and loan-to-value ratios the market will bear,” reads the Mix white paper. “We’re excited to see how folks use it!”
