LOOP FINANCE Launches NFT DeFi
Loop Finance built on the Terra (Luna) Network has continued to develop and expand their protocol from a Decentralised Exchange (DEX) with a Financial Blogging site with their own native tokens LOOP and LOOPR to providing a launchpad and now changing the game in NFTs.
You can read my previous introductory post on Loop Finance LOOP Finance DEX and LOOPR Luna Community Blog which has also developed a partnership with TerraForm Labs to host Bounties which will reward authors who post about projects in LOOPR and the native token of the bounty selected project.
NFT Smart Contract Builder
In a Cryptosphere first Loop Finance has launched the first ever NFT Smart contract Builder which enables a new form of project launch which will likely drive NFT's to a new level.
So what is new?
Launching an NFT project on Loop Finance will have 3 different options the first being the traditional NFT as we all have come to learn and know. The second will enable people to provide an APY through yield bearing bongs on the purchased NFT (more on this below).
The third option is much like the second except you can allocate any token you like, even your own if you don't have liquidity and can double as a great way to offer incentives for investors and early adopters. This in itself will likely alter the game in relation to airdrops and how to reward HODLrs and loyal project supporters.
At current the Marketplace overview doesn't have any information that we can include but we did find some information in Loop's NFT Marketplace.
Loop NFT Marketplace
Loop will offer compatibility with CW-721 standard NFT's with inclusions to enable the NFTs to be staked to earn owners rewards through the above mentioned options.
The unique aspect of Loop NFT Marketplace is that unlike traditional NFT Marketplaces NFTs sold may also include token rewards as well as unique art and community benefits.
The project also has stated that any tokens offered as rewards in staking NFTs will not include a fee. Instead the platform offers a fee for service on project launches and sales on it's platform.
The fee structures are as follows:
The Minting Studio
Projects wishing to launch NFTs in the Minting Studio will pay a 2%-10% sales fee. The fee is negotiated based on project technical experience with NFTs, artist connection requirements, and marketing needs.
Note: the Minting Studio is primarily meant for protocols looking to increase their token’s liquidity. LP tokens generated from the Minting Studio are locked on Loop DEX for a limited time.
NFT Marketplace Launch
Projects wishing to launch on Loop NFT Marketplace using auctions or fixed sales will pay a 5%-15% sales fee. Like the Vending Machine Launchpad and Minting Studio, the fee is negotiated based on project technical experience with NFTs, artist connection requirements, and marketing needs.
NFT Marketplace Secondary Sales
For secondary auctions and fixed price sales, sellers pay a 2% platform fee and royalties, executed upon final sale.
Information source Loop Finance.
Loop NFT Bonds
Just by looking at the current available bonds that NFT launchers can provide through their yield bearing NFTs is exciting in itself. This maybe the game changer the NFT sector has been waiting for and will drive further adoption of UST and Terra (Luna) Network projects.
Imagine purchasing an NFT on Loop Finance, staking it and receiving BNB or Bitcoin as a reward this is an edge opensea and other platforms do not have and is quite impressive.
The marketplace isn't live as yet but as we can see from the Demo it gives a strong indication on how it will work with the listed NFT also providing the NFTs attributes and APY including what tokens it is paying out in.
This will enable people to search for projects they support and how to best profit further from their investments. Naturally we can estimate that NFTs with higher APY may in fact be the focus point for many investors.
And those backed by current popular and long standing tokens such as Luna, Bitcoin or Ethereum.
If you would like to know more about the project you can join the official Discord follow the project on Twitter and on Reddit.
What are your thoughts on the upcoming NFT launch? are you as excited as me?
Image sources provided supplemented by Canva Pro Subscription. This is not financial advice and readers are advised to undertake their own research or seek professional financial services