Blur’s peer-to-peer perpetual non-fungible lending protocol Blend, focused on NFTs, has seen massive growth since inception, with the protocol’s loan volume hitting close to 170,000 in under 30 days.
Blend controls 82% of NFT lending share
According to DappRadar, Blend’s total loan volume has grown to 169,900 ETH or $308 million in 22 days, from 4,200 ETH recorded on the first day, translating to a growth of nearly 4000%.
Also, the NFT loan volume in May reached $375 million, with Blend accounting for 82% of the NFT lending market by borrow volume, thereby surpassing other existing NFT lending protocols such as X2Y2, NFTfi, Paraspace, Bend, and Arcade.
Blend, short for Blur Lending, launched on May 1 by NFT marketplace Blur, allows borrowers to use their NFTs as collateral to borrow ether. There are no fee charges for borrowers and lenders, while loans do not expire.
Meanwhile, Blend’s performance since inception has also spurred an increase in Blur’s total value locked (TVL), which peaked at $147.5 million on May 23. According to Blur, NFTs in the Blend protocol contribute to 17% of its TVL.
Blend to support Clone X
Blend, which initially supported the NFT collections Azuki, CryptoPunks, and Milady Maker, has extended its portfolio over time to include DeGods, Bored Ape Yacht Club (BAYC), and Mutant Ape Yacht Club (MAYC).
While most of the NFT collections have seen significant interest, Azuki seems to be the most preferred asset on the Blend protocol, with a whopping 70,031 ETH of loan volume from nearly 6,500 loans.
In addition to the existing NFT collections on Blend, Blur recently announced that its lending protocol will soon offer support for Clone X, which comprised 20,000 3D avatars and was launched in 2021.
With Blend soaring in the NFT lending market and dominating the sector, it seems Blur is looking to establish itself as a formidable entity in the NFT space.