Uniswap Is Considering NFT Financing And Is In Discussions With Lending Protocols!

According to a tweet from the head of NFT product, the exchange is in contact with multiple NFT lending protocols in order to develop NFT financialization.

According to a social media post by Uniswap's head of nonfungible token (NFT) product Scott Lewis, the crypto exchange Uniswap is in discussions with multiple nonfungible token (NFT) lending protocols.

In the tweet, Lewis emphasizes the company's desire to address liquidity issues as well as the "information asymmetry" surrounding NFTs.

While Uniswap's objective for these discussions and potential collaborations with lending protocols is the financialization of NFTs, the Twitter community provided a split response.

Some users viewed the decision as a step toward the consolidation of the future of decentralized finance, or DeFi.

Other users questioned Uniswap's motivations for its interest in NFT financialization and pointed to its desire to profit from liquidation gains.

Over the past few months, Uniswap has taken significant steps toward incorporating NFT activity into its services.

Uniswap is one of the largest decentralized exchanges (DEX) in the world, with nearly $6 billion worth of assets in its liquidity pools.

In June, the company announced its acquisition of Genie, a platform that aggregates NFT marketplaces and enables users to locate and trade digital assets across the majority of platforms.

Shortly thereafter, Lewis tweeted that Uniswap intends to implement NFTs with full support for Sudoswap.

Sudosawp enables anonymous transactions pertaining to the sale of NFTs and the creation of NFT liquidity pools.

This is not the company's first foray into the NFT market, as in 2019 they introduced Unisocks, the first implementation of NFT liquidity pools.

However, this latest push for NFT activity occurs as these digital assets gain traction and utility beyond the DeFi domain.

These tokenized digital assets are utilized by industries for the monetization of real estate contracts, digital fashion, collectibles, and music rights.

Similar platforms such as OpenSea, MagicEden, and even eBay are racing into the Wild West of NFTs at full speed.

DappRadar's Q2 industry report even hinted at the possibility of a future NFT platform war.