Just-In: Binance Launches NFT Lending Feature To Rival Blur’s Blend Protocol

Coingapestaff
May 25, 2023 Updated July 17, 2025
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binance nft lending

Binance, the world’s leading cryptocurrency exchange, continues to make waves in the non-fungible token (NFT) space with its latest announcement. On Thursday, the exchange’s NFT marketplace, which has experienced remarkable success since its launch in April 2021, introduced a new NFT lending feature. With this, users can now borrow cryptocurrencies by utilizing NFTs as collateral within the Binance NFT marketplace.

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Binance Launches NFT Lending

The trend of NFT lending is rapidly gaining popularity in the crypto space, offering users a new way to diversify their portfolios and maximize the potential of their digital investments. Currently, the NFT marketplace supports Ether (ETH) borrowing against flagship NFTs, including notable NFT collections such as Bored Ape Yacht Club (BAYC), Mutant Ape Yacht Club (MAYC), Azuki, and Doodles. This diverse range of options provides users with flexibility in selecting collateral that suits their preferences and investment strategies.

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According to the official website, NFT loans on the Binance platform carry an interest rate of 7.91% per annum. The loan-to-value ratio offered ranges from 40% to 60%, ensuring a fair balance between collateral and borrowed funds. Notably, Binance exchange has waived gas fees for all transactions associated with the lending process, in order to further entice end users.

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Binance’s Growing NFT Ecosystem

This significant development follows the recent launch of Blend — a lending protocol for NFTs by Blur — a prominent player in the NFT marketplace industry. Blend allows lenders to set their own interest rates and loan-to-value ratios, providing much-needed flexibility for market participants.

Moreover, the introduction of NFT lending on Binance offers a win-win scenario for both lenders and borrowers. An excerpt from their blog post entails that:

Owners can lend relatively illiquid non-fungible tokens (NFTs) for instant crypto or cash funds, while borrowers can earn interest on the NFT without owning it.

In addition, Binance has been making strategic moves to outgrow its competition and solidify its dominance in the NFT market. Earlier this month, the exchange announced support for Ordinals, Bitcoin-based NFTs, adding to its existing blockchain offerings, which include Ethereum, Polygon, and its native BNB Chain.

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Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
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Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

About Author
About Author
CoinGape comprises an experienced team of native content writers and editors working round the clock to cover news globally and present news as a fact rather than an opinion. CoinGape writers and reporters contributed to this article.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.