KEY POINTS
Blend, the NFT lending platform of the Blur NFT marketplace, has reached over $6.6 billion in total transactions.
This milestone was recorded through data from Dune Analytics, showing that Blur has facilitated 720,536 total loans, involving 11,044 unique borrowers and 4,532 unique lenders.
The current statistics indicate that there are 2,645 active loans totaling 3,497 ETH, which is equivalent to over $122 million.
Among the notable NFTs used in these loans are Azuki, Lil Pudgys, and Milady Maker, alongside digital collectibles from other popular collections such as Bored Ape Yacht Club and Moonbirds.
Blend was launched last year to allow borrowers to use their NFTs as collateral while finding lenders who offer competitive interest rates. Borrowers can pay back the loans at their convenience, while lenders have the option to exit their positions by selling the collateralized NFTs through Dutch auctions.
The growth of Blend was highlighted in April when a CoinGecko report revealed that the platform commanded a 92.91% market share in NFT lending volume, with a monthly lending volume of $562.33 million in March 2024.
The NFT lending market is seeing substantial growth, driven by the increasing need for liquidity among NFT holders. More platforms are emerging to facilitate loans using NFTs as collateral, enabling owners to unlock the value of their assets without having to sell them.
In February 2024, cryptocurrency investor GMoney secured a $1 million loan using a CryptoPunk as collateral on the NFT lending platform Gondi. This transaction marked the world’s largest on-chain NFT loan. GMoney used CryptoPunk #8219 for a six-month loan with a 14% interest rate, resulting in $70,000 in interest payments over the loan term.
