NFT-collateralized mortgage platform Arcade raises $15M in funding spherical
Arcade, a platform that enables customers to make the most of nonfungible tokens (NFTs) as mortgage collateral, has raised $15 million in a Series A funding spherical with participation from Pantera Capital.
In a Wednesday announcement, Arcade said Pantera, Castle Island Ventures, Franklin Templeton Blockchain Fund, Golden Tree Asset Management, Eniac Ventures, Protofund, Probably Nothing Capital and Lemniscap along with angel buyers BlockFi CEO Zac Prince and Quantstamp CEO Richard Ma have been behind the funding in an effort to attach NFT-collateralized lending with the decentralized finance area. The platform can also be popping out of a personal launch with $3.3 million in whole mortgage quantity secured on a complete of $10 million in belongings.
Arcade co-founder Gabe Frank stated NFTs account for a good portion of the ever-growing DeFi market, which is presently worth over $250 billion in phrases of whole worth locked. “However, the lack of infrastructure in DeFi prevents NFT holders from achieving liquidity on their holdings despite massive market caps,” he stated.
Arcade’s LinkedIn web page exhibits a minimum of 10 U.S.-based workers, with the corporate presently hiring for varied roles, together with a senior software program engineer, lead expertise specialist and workforce coordinator. Lauren Stephanian, principal at Pantera Capital, stated the platform’s collateralization of NFTs had the potential to incentivize participation from “institutional lenders, high-net-worth individuals, DAOs, companies with NFTs on their balance sheets and NFT collectors.”
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Other platforms have already launched or are within the means of launching companies to facilitate loans in opposition to NFTs, together with ETNA Network and Lithuania-based lending platform Drops. In March, lending protocol Teller Finance introduced that a few of its customers would have the ability to get hold of credit score with out posting collateral, accessible by means of particular NFTs.