Pine Protocol has announced its launch on the Polygon blockchain. Polygone enables Ethereum scaling solutions powering some big platforms like Aave, Uniswap, and OpenSea.
Pine Protocol is a “decentralized non-custodial protocol that facilitates NFT asset-backed loan transactions between lenders and borrowers.” Borrowers may leverage their NFTs as collateral.
Pine Protocol seeks to harness the potential capital efficiency of idle NFTs as a means to access instant liquidity.
Pine Protocol reports that it has originated over $4 million of NFT-backed loans since its beta launch in late 2022 and currently supports loans for leading NFT projects including Azuki, Bored Ape Yacht Club, Doodles, and others.
Alex Ho, founder of Pine Protocol, explains that NFTs have the largest market cap after Ethereum, adding that using Polygon opens up the NFT lending market to over 200 million wallets.
Hamzah Khan, Head of DeFi at Polygon Labs, added that incorporating Polygon will enable faster and more cost effective transactions for the Pine Protocol’s decentralized network of borrowers and lenders.