NFT-Collateralized Loans

Borrow USDC using NFTs as collateral

Unlimited Loans

Protocol allows you to borrow USDC against your blue-chip NFTs. User can borrow for an indefinite period, any amount that your LTV (Loan-to-Value) allows. The user can borrow up to 60% of the asset value (of the NFT value in the protocol)

While user are borrowing tokens, the amount user must return grows. This is called the Interest rate.

Fixed Interest Rate: 25% APR

25% borrow APR is in effect in the protocol. The reason for this is that people need to know how much they need to pay back in a year. They need stability, at least for ease of calculation. After paying back tokens what you borrowed + interest. that you can take your NFTs back. When you pay off your loan, you first pay off your interest. And only after the interest has been paid in full, you start repaying the loan.

Price Fluctuation Smoothing

The app utilizes a special formula for our oracle that smooths out collateral price fluctuations. This prevents price manipulation and liquidation of your assets.

Liquidation at 72.7% LTV

The maximum LTV is the 72,7% of the NFT protocol price. If the LTV is higher, a portion of user NFTs will be liquidated to release this value below the critical value. The other part will remain untouched. The protocol will liquidate first those NFTs that will bring more income to the protocol.

Market Maker

Such a high LTV is achieved with the help of an in-house market maker, which must be provided by the collection owner. When there is a shortage of bets on the platform, liquidated NFTs are liquidated into the market maker, this ensures constant liquidity in the protocol. So, not always liquidations go to the market maker, but it is always necessary to maintain liquidity in the market maker in case of bad market events. The way it works is that it puts so-called “offers” inside the platform (people can't sell their NFTs in them, but the protocol will be able to liquidate NFTs in them)

Only NFT collections that are in the GopLend WL can be placed in the provisioning. Collections can only enter this WL via the Gopniks DAO.

Also, the collection should pass all the selection criteria. (Amount of liquidity, trades in 24 hours, etc.)