In Brief:
- Nexo launches NFT Lending Desk service in partnership with Three Arrows Capital.
- Nexo’s clients can use the NFTs to borrow stablecoins, ETH, and other crypto assets.
- The service now supports Bored Apes Yacht Club and CryptoPunks collectibles.
Crypto lending platform Nexo announced the launch of a brand new service titled the ‘NFT Lending Desk’ in partnership with NFT-focused hedge fund Three Arrows Capital.
Three Arrows Capital is the first client for Nexo’s NFT Lending Desk, and Nexo is the first blockchain-based lender to offer crypto loans backed by NFTs.
Nexo’s over-the-counter clients have full access to the lending desk. It now supports two popular NFT collections: Bored Apes Yacht Club and CryptoPunks, with plans to add more collections in the future.
Clients can use the NFTs to borrow stablecoins, ETH, and other crypto assets, according to Nexo.
The new endeavor is described as “a definitive move towards offering financial instruments and Web 3.0-native MetaFi,” by Nexo.
“NFTs’ potential reaches far beyond art, encompassing ownership, exclusive access, functions, and features,” stated Nexo co-founder and managing partner Antoni Trenchev.
Nexo’s crypto credit issuance capabilities will be strengthened by Three Arrows Capital, which will provide risk hedging, capital injection, and liquidation mechanisms for the new NFT Lending Desk service.
“We are happy to partner with Nexo and demonstrate our recognition of NFTs’ promise as a financial instrument–one that requires appropriate, high-quality financial tools to be fully leveraged,” stated Three Arrows Capital director Kyle Davies.
Nexo also said that as part of its ongoing Nexonomics program, it will launch more investment-grade products, as well as more accessible, secure, and high-profit exposure to the NFT market in the coming months.
The new NFT Lending Desk Service will increase Three Arrows Capital’s exposure to the rapidly rising NFTs sector while also expanding Nexo’s potential market and boosting the reach of its efficient crypto credit service.
Nexo announced a partnership with Fidelity Digital Assets just a week back. As an attempt to attract institutional investors to the cryptocurrency market, the two companies will offer a suite of products targeting them.
