Loan Request

Borrowers can collateralize their NFTs and take out an ETH loan by issuing a 'Loan Request'. There are two different types of Loan Request for borrowers to choose from:

  • Standard Loan: backed by any NFT collateral with flexible duration, no instant liquidity available

  • Instant Loan: backed by NFT supported by at least one of existing Lending Pools, maximum 30 days duration, instant liquidity available

To open a Loan Request, a borrower should go to the Borrowing page of the protocol and choose the NFT that will be used as collateral. If the NFT has "Instant Loan" tag, that means both Standard and Instant loans are available, otherwise Standard Loan will be the only option.

set definitions for the following three variables:

  1. How much ETH they want to borrow against their NFT

  2. How long they want to borrow it for

  3. An initial loan interest rate

Once set, the Borrower transfers the NFT collateral into an isolated smart contract and publishes the Loan Request.

The Borrower's NFT collateral maintains its full utility for the duration of the loan, but cannot be transferred or sold.

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