LithiumFinance
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LithiumFinance

Lithium Finance Partners With Strip Finance to Unlock Further Liquidity in NFT Lending

  • Hundreds of thousands of creators and an even higher number of enthusiasts are engaged in creating an unprecedented level of wealth in the NFT space today. However, the ever-growing transfer and value of NFTs, are creating a liquidity challenge in the market.‌
  • Fair value discovery is one of the key challenges in the NFT collateralization ecosystem. Strip Finance will utilize Lithium Finance’s price experts to suggest the fair value of the NFT assets brought as collateral.
  • Strip Finance will explore the ability to enhance its NFT lending protocol with Lithium to unlock further lending liquidity for NFT holders.

Lithium Finance is proud to announce the partnership with Strip Finance, a decentralized marketplace for easing liquidity in NFT & Defi. Under the partnership, Lithium will serve as a key partner, utilizing the collective intelligence approach to further assist Strip Finance on its quest to improve further pricing accuracy, leading to further liquidity to be unlocked in the NFT valuation and lending process.

Capital inefficiency and price discovery are the two main challenges for NFT assets. While we can sell fungible tokens like BTC and ETH almost instantly in the market, it takes much longer to sell NFTs in any secondary market. As a result, NFT lending protocols have emerged as a liquidity solution for this digital asset.

Investors can only recently borrow against their previously illiquid assets. However, given that we are still at the early stage of NFT Lending, many lenders only value NFT collateral based on floor price, coupled with a relatively low LTV ratio compared to other traditional assets. With the partnership, Strip Finance strives to recognize rare NFT items in the ecosystem and provide borrowers a true valuation for their NFT (as opposed to FP), unlocking liquidity for rare NFT.

About Lithium Finance

Lithium Finance is the first decentralized asset pricing mechanism powered by collective intelligence. We bring market participants together to estimate pricing for illiquid assets on demand.

Website | Telegram | Twitter | Discord | Medium | LinkedIn | Whitepaper

About Strip Finance

Strip Finance is a collateralized NFT borrowing and lending marketplace. The platform enhances liquidity in the NFT markets by providing users with an option to retain ownership and yet be able to derive liquidity.

Website | Telegram | Twitter | Medium | LinkedIn | Whitepaper

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