- Blur unveils Blend, a peer-to-peer lending protocol platform.
- The protocol was developed with Dan Robinson and Transmission 11.
Blur, the non-fungible token marketplace, announced the launch of a peer-to-peer lending protocol called Blend. The platform designed to allow traders to maximize NFT liquidity by enabling buyers to provide collateral for their token transactions.
The protocol developed in conjunction with the paradigm’s Dan Robinson, the head of research at the venture capital firm, and the pseudonymous research associate Transmission 11.
1/ Introducing Blend: the Peer-to-Peer Perpetual Lending Protocol for NFTs.
— Blur (@blur_io) May 1, 2023
Built in collaboration with @danrobinson and @transmissions11 at @paradigm, Blend enables 10x higher yield opportunities than current DeFi protocols and unlocks greater liquidity for NFTs.
Here’s how 👇 pic.twitter.com/uOFC6i3LSq
Blur shared a tweet thread about the details of the projects and explained how the protocol opens opportunities for lenders and buyers. The protocol allows new traders to enter the ecosystem who were previously priced out of the expensive NFT collections, like Bored Ape Yacht Club, Loot, and Cryptopunk NFTs.
Blur’s Protocol Allows Perpetual Lending
According to the project’s whitepaper, it permits perpetual lending, which means that the loans don’t have any expiration dates. It allows borrowing positions to remain open indefinitely until liquidated, with market-determined interest rates.
As per the protocol, it allows borrowers to repay their loans at any time they want. At the same time, lenders have the option to pull out of their positions by initiating the Dutch action to find a new lender at a new rate.
The NFT marketplace Blur also mentioned that Blend does not charge any fees from traders and lenders. And also helps in increasing Blur’s brand integration into the decentralized finance (DeFi) sector.
Blur is the protocol, and it does not have any permissions as a floating rate lending protocol. Moreover, the Blend protocol will go live after Blur, as the season 2 airdrop reaches its end.
