BNBUSDT 2023 05 26 02 33 05 638206562144096756

Share:

  • Binance Exchange has unveiled a new platform feature that allows users to secure loans using NFTs as collateral. 
  • The feature adds utility to NFTs by allowing people to use their assets to borrow crypto.
  • Initially, Binance only supports Ethereum loans and “Blue Chip” NFT collections.
  • The development has seen Binance coin identify support, and now a breakout is imminent.

Binance exchange has made its foray into the non-fungible token (NFT) lending space after launching a new feature on its platform on May 25. Based on the announcement, the feature allows users to leverage NFTs as collateral in securing loans.

With the new venture dubbed Binance NFT Loan, the exchange has signed up for competition against industry peers like Blur’s NFT lending protocol, Blend.

Also Read: Binance Coin price action alerts traders that a slide below $300 is forthcoming

Binance NFT Loan

Binance NFT Loan aims to add utility to non-fungible tokens by enabling market participants to use their assets to borrow crypto. It comes shortly after NFT marketplace giant Blue unleashed its NFT Lending protocol christened Blend earlier in May. Nevertheless, unlike Blue, Binance employs a peer-to-pool mechanism, making its platform a loan pool.

From the report, Binance will commence operations with support limited to Ethereum loans and “Blue Chip” NFT collections. These include Bore Ape Yacht Club (BAYC), Mutant Ape Yacht Club (MAYC), Azuki, and Doodles.  The exchange sharing that it has shared its plans to introduce more features in the future, all toward making Binance the go-to place for NFT trading and decentralized finance (DeFi).

An excerpt from a press release by Binance head of product, Mayur Kamat, reads:  

Binance NFT loan feature will provide new liquidity options for holders, allowing them to participate in the market without having to let go of their precious NFTs.

While interest rates will be set at 3.36% per year, Binance will change this to 11% per annum later, alongside a loan-to-value ratio between 40% and 60%. Nevertheless, with the new feature, Binance has revitalized competition within the NFT space while simultaneously revolutionizing NFTs from being simple jpegs to becoming properties capable of serving as collateral. This is a major advancement for the non-fungible token ecosystem, enticing a similar move from other entities.

Binance Coin price gears for a positive reaction

At the time of writing, Binance Coin (BNB) price is gearing for a bounce from the $303 support level. However, bulls must increase their buying pressure to overpower selling pressure from the 200-, 100-, and 50-day Exponential Moving Averages at $308, $313, and $315, respectively. An increase in buying pressure above these levels could see the exchange token shatter the $316 hurdle. A four-hour candlestick close above this level could invalidate the current bearish outlook shared by the broader market.

In a highly bullish case, BNB price could reach higher, tagging the $325 hurdle that denotes a 6% uptick from the current price.

BNB/USDT 4-hour chart

Conversely, if sellers overpower the bulls, Binance coin price could drop toward the $303 support level or even lower to test the significant psychological support at $300, collecting sell-side liquidity underneath.

Also Read: BNB price recovery rally threatened as Binance trustworthiness is questioned

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

BNB / USD Price Prediction : Grapeswap AI Bot

Grapeswaptoken 🍇 $GRAPE – is a strong DeFi Tools for Yield Farming, Staking, Power-Ups Gains, Gamified Rewards, Play2Earn Games and Token Utility Ecosystem MultiChain.

🔑 Key features

  • Multichain: BNB Chain, Polygon, AVAX, ETH, Fantom and more
  • Yield Optimizer: Staking, Farming, Power-Up
  • DEX: Instant Buy, Order Book, Auction, Swap and Liquidity Pool Provider
  • Play to Earn: Grapenopoly
  • Crypto Sports Booking: Football
  • Community DAO: DAO
  • Gamified Rewards: Grape Moment, Grape Slot, Grape Fortune and Grape Joker
  • Wallet and Payment Tool: Grape Wallet
  • and more coming
🔗 Official Website Grapeswap Source

✅ Watch the BNB / USD Prediction Live on:
⏺️ Twitch – https://www.twitch.tv/grapeswap
📺 Youtube – https://www.youtube.com/channel/UCKXr3oBNCe9f_r1f-9nZF6Q

By admin