Blur

United

Uniswap

<p>Blur, a new NFT lending system, has lately made headlines in the crypto industry. Blur just unveiled the Blend collateralized lending protocol, which allows for a buy now, pay later way to purchase NFTs. Members of the community reacted differently. Some see it as a significant advancement for the space, while others have called on the United States Securities and Exchange Commission (SEC) to protect users from such products.</p>



<h2 id="blur-s-new-protocol-gets-the-crypto-community-talking">Blur’s new protocol gets the crypto community talking</h2>



<p>The platform released Blend, a peer-to-peer perpetual lending protocol created with the assistance of venture capital firm Paradigm, on May 1. The protocol accepts NFT collateral, and the team believes it will charge no fees to lenders or borrowers.</p>



<p>A community member welcomed Blur&#8217;s new location, calling it &#8220;massive for the space&#8221; and more efficient. They posted on Twitter:</p>



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<blockquote class="twitter-tweet" data-width="550" data-dnt="true"><p lang="en" dir="ltr">Massive for the space &#8211; great move by <a href="https://twitter.com/blur_io?ref_src=twsrc%5Etfw" rel="nofollow noopener" target="_blank">@blur_io</a>. Effectively this allows you to loan out your ETH for yield, and also allows better cash/jpeg efficiency. <a href="https://t.co/PikWKqN0Jn" rel="nofollow" target="_blank">https://t.co/PikWKqN0Jn</a></p>&mdash; peepeedog.eth (@peepeedog) <a href="https://twitter.com/peepeedog/status/1653249643768348672?ref_src=twsrc%5Etfw" rel="nofollow noopener" target="_blank">May 2, 2023</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
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<p>Meanwhile, another Twitter user believes that the new OpenSea competitor development is a good diversion from the &#8220;overall negative sentiment&#8221; in the NFT space. The community member may be referring to the decreasing number of NFT buyers in April. According to statistics from the analytics website NFTGo, sellers dominated the NFT market last month.&nbsp;</p>



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<blockquote class="twitter-tweet" data-width="550" data-dnt="true"><p lang="en" dir="ltr">This is news, and it provides a distraction from overall negative sentiment in the space, so that&#39;s good.<br><br>Blur also announced being able to take loans against your NFTS, a Buy Now, Pay Later (BNPL) option and changes to how points work.<a href="https://t.co/Q06mzM5Wdq" rel="nofollow" target="_blank">https://t.co/Q06mzM5Wdq</a></p>&mdash; 0xLvna.eth (@LunaVonHresvelg) <a href="https://twitter.com/LunaVonHresvelg/status/1653128496430940161?ref_src=twsrc%5Etfw" rel="nofollow noopener" target="_blank">May 1, 2023</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
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<p>While some emphasized the benefits of NFT lending, others disapproved of it. A member of the community emphasized the possibility of defaulting on the loan and losing much more money. In the meantime, a collector of NFTs utilized the opportunity to deliver a lesson on NFTs.</p>



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<blockquote class="twitter-tweet" data-width="550" data-dnt="true"><p lang="en" dir="ltr">1st rule for <a href="https://twitter.com/hashtag/NFTs?src=hash&amp;ref_src=twsrc%5Etfw" rel="nofollow noopener" target="_blank">#NFTs</a> : only invest money you can afford to lose. If you need a loan, you’re overexposed! So just don’t do it and don’t let blur tell you something else! In this space there are kids playing with money. Giving them a loan and take their poket money is just criminal <a href="https://t.co/N3IqSWLTbL" rel="nofollow" target="_blank">https://t.co/N3IqSWLTbL</a></p>&mdash; Taki_Nooby_Booby (@Taki_NoobyBooby) <a href="https://twitter.com/Taki_NoobyBooby/status/1653128514474745876?ref_src=twsrc%5Etfw" rel="nofollow noopener" target="_blank">May 1, 2023</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
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<p>Jesse Hynes, an attorney for Web3, tagged the SEC&#8217;s Twitter account and stated that the commission should be safeguarding investors from such conduct. Hynes states that it is &#8220;extremely dangerous.&#8221;&nbsp;</p>



<p>Blur has positioned itself in the NFT market, prompting OpenSea to take action in what the community refers to informally as the &#8220;NFT marketplace wars.&#8221; OpenSea instituted 0% fees on February 18 to regain users from the incoming rival. OpenSea has also recently debuted a sophisticated NFT marketplace aggregator in an additional attempt to upset the boat.</p>



<h2 id="what-is-the-blend-lending-protocol">What is the Blend lending protocol?</h2>



<p><a href="https://twitter.com/blur_io/status/1653051809240604674" rel="nofollow noopener" target="_blank">Blur</a> launched a peer-to-peer NFT lending protocol on Monday. Blend, an abbreviation for Blur Lending, is a platform designed to enable traders to maximize NFT liquidity by permitting token purchasers to provide collateral. This will allow buyers who were previously priced out of expensive collections, such as Bored Ape Yacht Club and CryptoPunk NFTs, to access the ecosystem.</p>



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<blockquote class="twitter-tweet" data-width="550" data-dnt="true"><p lang="en" dir="ltr">1/ Introducing Blend: the Peer-to-Peer Perpetual Lending Protocol for NFTs.<br><br>Built in collaboration with <a href="https://twitter.com/danrobinson?ref_src=twsrc%5Etfw" rel="nofollow noopener" target="_blank">@danrobinson</a> and <a href="https://twitter.com/transmissions11?ref_src=twsrc%5Etfw" rel="nofollow noopener" target="_blank">@transmissions11</a> at <a href="https://twitter.com/paradigm?ref_src=twsrc%5Etfw" rel="nofollow noopener" target="_blank">@paradigm</a>, Blend enables 10x higher yield opportunities than current DeFi protocols and unlocks greater liquidity for NFTs.<br><br>Here’s how 👇 <a href="https://t.co/uOFC6i3LSq" rel="nofollow" target="_blank">pic.twitter.com/uOFC6i3LSq</a></p>&mdash; Blur (@blur_io) <a href="https://twitter.com/blur_io/status/1653051809240604674?ref_src=twsrc%5Etfw" rel="nofollow noopener" target="_blank">May 1, 2023</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
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<p>In the same way that homebuyers make a down payment and then pay a mortgage, <a href="https://www.cryptopolitan.com/blur-marketplace-launches-p2p-protocol/?swcfpc=1">Blend </a>will enable collectors to apply the same principles to NFT markets, allowing them to put up a percentage of the total NFT price and finance the remaining balance.</p>



<p>The entity posted a Twitter thread detailing the product and describing how it will aid lenders and borrowers seeking to enter the market by creating new opportunities.</p>



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<blockquote class="twitter-tweet" data-width="550" data-dnt="true"><p lang="en" dir="ltr">5/ NFTs face a similar problem. Most buyers today pay the full price of NFTs up front.<br><br>Many may want to buy into a collection, but very few can afford to pay it all at once.<br><br>The solution is NFT lending.</p>&mdash; Blur (@blur_io) <a href="https://twitter.com/blur_io/status/1653051825720033281?ref_src=twsrc%5Etfw" rel="nofollow noopener" target="_blank">May 1, 2023</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
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<p>The NFT platform stated that the product was developed in collaboration with Dan Robinson, head of research at venture capital firm Paradigm and an investor in decentralized exchange (DEX) Uniswap version (v)3, and Transmissions, a pseudonymous research associate who previously contributed to the development of the market protocol Seaport. Paradigm is Blur&#8217;s largest investor.</p>



<p>According to the thread, Blend will not charge merchants or lenders any fees, further integrating the Blur brand into the world of decentralized finance (DeFi).</p>



<p>Blend joins the NFT platform near the end of Season 2&#8217;s airdrop period of $300 million worth of its native BLUR token. According to Dune Analytics statistics, while<a href="https://www.cryptopolitan.com/whale-show-mixed-reactions-binance-perpetual-futures-contracts/?swcfpc=1"> Blur </a>has been the dominant NFT marketplace for several months, aggregate NFT trade volumes have decreased in recent weeks.</p>

Blur’s NFT Lending protocol splits up the crypto community

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