NFTY Finance uses a new method of lending which are referred to as Liquidity Shops - a customizable lending desk funded in any fungible token, lent out against a specified NFT collection. These liquidity shops can be owned by an individual contributor be it a person, institution, DAO, etc. & are the key aspect of NFTY Finance's lending feature.
Below are a list of customizations you can make to your liquidity shop. Such customizations ensure the perfect match between a lender and a borrower.
- Fund in any ERC-20 token
- Lend against any NFT Collection
- Decide appraisal rates
- Set preferred interest rates
- Choose between two approval mechanisms - automatic or manual (coming soon)
Once a liquidity shop has been created, lenders are free to manage the parameters in real-time. Additionally, liquidity shop owners have the following functionality to manage their shops
- Track loan requests
- Replenish balances
- Freeze/unfreeze loan issuance
- Close the shop entirely