Unknown person received a loan for USD $ 1.4 million and put an NFT as collateral – DiarioBitcoin

US authorities capture nuclear engineer after receiving cryptocurrencies for the sale of secret plans - DiarioBitcoin

Unknown person received a loan for USD $ 1.4 million and put an NFT as collateral - DiarioBitcoin By Angel Di Matteo @shadowargel

The NFT in question belongs to the collection Autoglyph, and it is listed as one of the rarest of it. It is estimated that each work is priced at at least 299 ETH.

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An unknown person under the alias KrypToniK requested a loan for USD $ 1.4 million through the platform NftFi, for which he put as a guarantee a digital work of art (NFT).

Substantial loan for a NFT

This was revealed by a report published by the medium The Block in an article published today, where they indicate that the loan for USD $ 1.4 million is listed as the largest made by managing a NFT as a guarantee to date. As such, the service NftFi He usually admits these types of exchanges, but he had never handled one of such magnitude before this one.

According to information published by the platform, the aforementioned loan was scheduled on October 28, and the responsible person put the NFT # 488 of the collection as collateral. Autoglyph, being one of the rarest of this group of digitized works.

As such, the Autoglyph are a collection of generative art where the algorithm responsible for the creation of the piece is stored in the Blockchain from Ethereum. Each piece of this group of works has a fairly high value within the main specialized platforms, with each unit trading at a minimum of 299 ETH (USD $ 1.3 million approximately).

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In relation to the loan made by the Autoglyph in question was provided by MetaStreet DAO, a decentralized autonomous organization that aims to offer financing to all those willing to offer an NFT as collateral. In this case, the USD $ 1.4 million was consigned in the stablecoin DAI.

NFT’s as a guarantee

While there are many protocols DeFi that make loans in stablecoins in exchange for guarantee deposits in a variety of cryptocurrencies, the mechanics of incorporating NFT seems to be gaining more and more popularity.

In these cases, the loan is requested and the NFT as a guarantee. In case the requested figure is not paid, the counterparty will take the tokenized artwork.

In accordance with The Block, on NfiFi once it happened that a person was loaned about 3.5 ETH valued at USD $ 7,350 at that time. The person in question did not return the respective funds and the counterpart received the NFT, currently valued at about $ 340,000.


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Source: The Block

Version by Angel Di Matteo / DailyBitcoin

Picture of Unsplash

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