As
the popularity of non-fungible tokens (NFTs) keeps increasing, so is the
invention of more features and applications. One such act is NFT renting, which is lending an
NFT by leveraging collateral for temporary use or ownership. Different NFT platforms are available and you should use the best.
Read
More: Everything You Need to Know About NFT Rental
Best
NFT Renting Platforms
NFT
platforms are marketplaces where investors who do not want to buy an NFT
outright can borrow it for a certain period. Renting NFTs is usually less
expensive and NFT enthusiasts borrow them for different reasons. As a player,
to ensure that the renting process goes smoothly, here are the best NFT renting
platform you can use.
1. reNFT
NFT
renting and lending on Ethereum mainnet are implemented by reNFT, a multichain
renting protocol. Renting physical assets like tokenized real estate is a
service offered by reNFT in addition to digital assets.
The
platform also offers Scholarship Automation, which automatically distributes
the money earned between the renter and the lender. So, for instance, if a
player rents an NFT in-game and makes money, he may choose to forego paying the
rent instead of sharing a certain amount of money with the lender.
2. IQ
Protocol
In
the IQ Protocol, fungible tokens and NFTs can be rented without collateral
using Defi risk-free protocols. Warpers and IQVerses are the two major elements
that work on this platform. Warpers allow for the deployment of contracts to
establish an entitlement to particular NFTs. IQVerses on the other hand are
asset owners or service providers.
Instead
of giving the borrower the original asset, IQ Protocol gives them an NFT that
expires. This model introduces a new idea of the economy of employing NFT that
takes into account the needs of all parties involved.
3. Vera
The
Vera protocol is a multichain Defi protocol that handles NFT mortgages and
rentals. It enables renting of metaverse NFTs without the need for collateral.
Transactions involving BNB Smart Chain transactions, Polygon, and Ethereum
transactions are supported by the platform. Vera Metaverse Mortgages is one of
the key components of this platform.
Additionally,
Vera's APIs enable users a variety of payment alternatives for the assets. Some
examples are uncollateralized network financing, collateralized network
financing, and uncollateralized seller financing.
4. Trava
Protocols
Trava
is an NFT marketplace for cross-chain lending that is decentralized. Digital
asset lending generates passive income for people who own dormant gaming NFTs.
Additionally, they have the freedom to establish and run their lending pools by
themselves.
By
allowing customers to make use of smart contracts, stock tokens, and NFTs as
collateral on the Trava platform, these assets become more liquid. However, the
assets must first be auctioned off, with the winners then being parties to the
loan agreement. They can profit from the contract or purchase the digital asset
for a low price as a result.
5. Defy
NFTs
mortgage, lending, and rental are offered by the decentralized multichain
protocol, Defy. Developers may see that the asset lacks liquidity and that the
NFT's liquidity only appears when a sale happens.
To
satisfy the needs of customers, NFT Mortgage, NFT Renting, NFT Instant Loaning,
and NFT P2P are some of the products that Defy offers. The Deefy Score, which
establishes the LTV of the user's collateral, is calculated by Defy using an
internal algorithm.
Conclusion
Currently,
NFT renting is a relatively new concept. However, it will soon become commonplace.
If you get into it early, you can have a competitive advantage. The best NFT
renting platforms have already been mentioned so you can start.
DISCLOSURE
Comments here are not of the author's opinion. Users are responsible for their comments.