NFT-collateralized lending primitive, via active auctions.
GPL-3.0 License
NFT-collateralized lending, inspired by conversations with Mark Beylin.
See @wilsoncusack's similar implementation, predating this one.
Thank you to @mrthankyou for volunteering to independently audit, and @wilsoncusack and @vasa-develop for their feedback.
Non-fungible assets are difficult to price effectively, limiting their ability to be used as a form of collateral. Thus far, NFT-lending (see: nftfi) has been largely p2p with NFT owners proposing fixed loan requirements and terms, upfront.
PawNFT uses an active auction mechanism to achieve three results:
For NFT owners, PawNFT offers either: (1) a way to draw capital against their non-fungible collateral, or (2) a short-dated put on the price of their NFT (with the premium paid being the fixed interest to top bidder).
This implementation closely follows Mark's spec, save for adding cascading interest payments aross subsequent lenders (Mark's spec forces worst rates for future lenders).
Contract code is found in /contracts
and is a Hardhat project.
Front-end code is found in /frontend
and is a NextJS application.
READMEs in resepective subfolders cover details.
GPL-3.0-or-later