According to the latest data report from eBit labs, a digital asset analysis company, the scale of NFT loans rose sharply in January this year and hit the highest level since May 2022. The amount of NFT loans in the first week of January exceeded 6,000 ETH, reaching the highest level in more than nine months. A new high, as of press time, the total amount of borrowing in January exceeded 18,000 ETH, or about $30,516,660.
The eBit labs report pointed out that the lending industry has received widespread attention as the BAYC floor price decline in mid-2022 triggers market pressure and intensifies concerns about potential liquidation, eventually leading to a liquidity crisis.
The analysis believes that the main factors are the booming market and the popularity of Yuga Labs’ Dookey Dash game. Most of the loans issued by major NFT lending platforms such as BendDAO and X2Y2 are for “boring ape” Bored Apes. The balance of BAYC’s short-term loans in 2023 hit an all-time high in January.