The Pawnfi.com protocol supports different blockchains including Ethereum, Binance Smart Chain, Polygon, Arbitrum, and Moonbeam chains.
Pawnfi.com, a decentralized liquidity protocol for non-standard assets, has raised $3 million in a strategic funding round to launch the first liquidity protocol for Non-Standard Assets.
The investment round was led by Digital Currency Group (DCG) and also included Animoca Brands, Dapper Labs, Polygon, DeFi Alliance, Hashkey Capital, Everest Venture Group, SNZ, and 6Block.
Notably, Pawnfi.com is a newly unveiled lending and leasing market that seeks to take the DeFi ecosystem to the next level. Some of the supported Non-standard Assets (NSAs) include non-fungible tokens (NFTs), liquidity provider tokens (LP tokens), tokenized rights, minor crypto-currencies, and bundled assets.
However, the company explained the future of Non- standard Assets is very diverse with more opportunities presented by the metaverse ecosystem. Notably, the metaverse ecosystem has tremendously grown over the past few months. Moreover, Facebook and its pack of products are now under a new brand name dubbed Meta.
Notably, the firm intends to allow asset holders a chance to access diversified cash flow and also to maximize their asset efficiency. In a bid to ensure the plan works, the firm uses the pawn concept that dictates tapping into the liquidity locked in non-standard assets. Consequently, it is correct to state that the firm’s workflow is managed through smart contract escrow and settlement.
Pawnfi.com and It New Funding
Pawnfi enters into the decentralized financial ecosystem at a time when the crypto industry is experiencing global adoption fueled by increased government regulations.
Speaking on the project, Matthew Beck, Director of Investments at DCG, said that the Pawnfi protocol is well poised to revolutionize the lending and borrowing markets. “DCG is proud to be an early investor in Pawnfi.com. Pawnfi’s decentralized liquidity protocol can activate vibrant borrowing and lending markets for non-standard crypto assets, including NFTs – driving improved capital efficiency and greater value to these markets and the creator economy,” he noted.
His sentiments were reiterated by Yat Siu, Executive Chairman and Co-founder of Animoca Brands, who said that more NFT will flourish amid rejuvenated asset liquidity. “Animoca Brands is excited to back Pawnfi.com. With its innovative interlocking blocks of ‘Pawn+Lease+Sale’, we expect to see more NFT assets unleash their liquidity as they take advantage of the potential on Pawnfi,” Siu said.
Notably, Pawnfi.com unveiled a closed beta to strategic investors at the tail end of last year. Some of the investors who had access to Pawnfi’s closed beta include GameFi partners and NFT KOLs.