Crypto alternate Uniswap engaged in talks with a number of nonfungible token (NFT) lending protocols, in accordance with a social media put up from Uniswap’s head of NFT product Scott Lewis.
Within the tweet, Lewis highlights the corporate’s curiosity in tackling each liquidity points and the “info asymmetry” surrounding NFTs.
uniswap is the interface for all nft liquidity.
we are actually in talks with 7 nft lending protocols. we might be working with each to unravel for liquidity fragmentation and data asymmetry. this is step one to constructing nft financialization.
— Scott (@Scott_eth) August 23, 2022
Whereas Uniswap’s objective for these talks and potential collaborations with lending protocols is NFT financialization, the gang on Twitter got here again with a double-sided response. Some customers deemed the choice as a step towards solidifying the way forward for decentralized finance, merely often called DeFi:
— structure_fi (@structure_fi) August 23, 2022
Different customers questioned the motives behind Uniswap’s curiosity in NFT financialization and pointed towards profiting from liquidation income.
another motive to offer this function than revenue from liquidations? or be variety to purchase the lenders nugatory asset at liq value and baghold it when you try to dump on your self?
— PilotGFX (@PilotGFX) August 23, 2022
Over the previous few months, Uniswap has made huge steps towards together with NFT exercise in its service choices. Uniswap is among the world’s largest decentralized exchanges (DEXs), chargeable for practically $6 billion in belongings in its liquidity swimming pools.
In June, the corporate launched its acquisition of Genie, an NFT market aggregation platform, permitting customers to seek out and commerce digital belongings throughout most platforms.
Shortly after, Lewis tweeted that Uniswap plans to introduce NFTs with full Sudoswap help. Sudosawp permits for nameless interactions round NFT gross sales and the creation of NFT liquidity swimming pools.
— Scott (@Scott_eth) July 22, 2022
This isn’t the corporate’s first entrance into the NFT house, as in 2019, they launched Unisocks, which was the primary rendition of NFT liquidity swimming pools. Nevertheless, this newest push for NFT exercise comes as these digital belongings acquire extra traction and utility inside and out of doors the DeFi house.
Industries are using these tokenized digital belongings for every little thing from actual property contracts and digital trend to collectibles and music rights monetization.
Comparable platforms like OpenSea, MagicEden and even eBay are going full velocity into the Wild West of NFTs. DappRadar’s Q2 trade report even prompt an NFT platform battle may very well be sooner or later.
The journalist is a writer and digital nomad. Loves thinking, learning, and writing about all things Web3, particularly its impact on major creative industries.