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Binance Declares New NFT Lending Program, Binance NFT Loan

Binance, the largest crypto exchange by trade volume, launched an NFT lending option.

Binance announced 0% gas fees and the ability to borrow Ethereum (ETH) without selling assets.

Loans are for folks who need money quickly but don’t want to sell their NFTs. It utilizes what Binance refers to as a “Peer to Pool” mechanism, in which Binance NFTs serve as a loan pool, and the quantity of ETH that users can borrow is dependent on the floor price of their NFTs. The system uses Chainlink (LINK) and OpenSea data.

Binance’s NFT Loan service now supports four popular collections, but more are coming shortly.

Binance says,

“Initially available with select high-profile NFT projects such as Bored Ape Yacht Club (BAYC), Mutant Ape Yacht Club (MAYC), Azuki, and Doodles, the innovative feature introduces the benefits of decentralized finance (DeFi) to the Binance NFT community. More collections are expected to be added in the near future.”

Since June 2021, Binance has continuously added capabilities to its NFT platform. In March, the crypto exchange released a test version of “Bicasso,” an NFT image generator based on artificial intelligence.