Blog - Product Updates

Introducing Loan Renegotiations

August 30, 20222 min read

NFTfi loan renegotiations blog

We’re thrilled to announce the launch of one of the most requested features by our community. Starting today, NFTfi borrowers and lenders can renegotiate their loan terms anytime before the loan has been foreclosed.

NFTfi’s loan renegotiation feature enables and improves true peer-to-peer interactions among borrowers and lenders. It also provides flexibility, as a lot can change during a loan period (market conditions, life circumstances, lending/borrowing strategies, etc.). We would like our users to have more options and choices when that happens.

Currently, NFTfi users are mainly engaging with each other on our Discord server. A trustless option within the dapp is more secure, faster, more convenient, and ensures a better user experience.

How does loan renegotiation work?

The renegotiation process can be initiated either by the borrower or the lender from the asset page by clicking the “Renegotiate Loan” button (see image below). It can be triggered any time during an active loan (while the NFT is in escrow) or after the loan has expired — but it must be initiated before the lender forecloses the loan.

Whoever starts the renegotiation can change the loan period and repayment amount. You could also offer the other party an incentive (a payable fee) to accept the new terms. Alongside the new loan terms, you have the option to send a customized message to provide more context.

You can review, modify or cancel your renegotiation offer anytime before the other party responds (signs the message in MetaMask).

The other party always has a choice. They can refuse to renegotiate and leave the loan terms as they are, accept the new loan terms or make a counter-offer. Their counter-offers can also be reviewed, modified, or canceled anytime before receiving a response.

NFTfi users can keep making counter-offers until everyone is happy. The borrower always accepts the final offer (even if the lender already agreed to initial renegotiation terms). Once accepted by the borrower, the loan terms will be updated accordingly.

If you have any questions or feedback about our new loan renegotiations feature, please join our Discord, where our community, NFTfi Ambassadors, and team members will be happy to help you out!

About NFTfi

NFTfi is the leading liquidity protocol for NFTs. It allows NFT holders to receive secured ETH and DAI loans from liquidity providers peer-to-peer. NFTfi’s vision is to build a decentralized, permissionless, user-owned public utility, supporting the seamless financialization of NFT-based economies through innovative mechanisms and highly user-friendly applications.

Discord | Twitter | Join the Ambassador program

Categories

Blog thumbnail Bundles PR

January 26, 2023

Start using NFTfi bundles for multi-collateral loans!

Reusable NFTfi bundles are the most gas efficient way to take out crypto loans secured by more than one NFT. They allow borrowers to collateralize multiple NFTs at once, and renegotiate as well as renew multi-collateral loans quickly and gas-efficiently.

Learn more >
Introducing USDC

December 21, 2022

Introducing USDC on NFTfi

NFTfi is introducing USDC (USD Coin) as the third cryptocurrency (next to wETH and DAI) for taking out and giving out loans. When making a loan offer or listing an asset as collateral, users can select USDC under loan terms.

Learn more >
NFTfi Obligation receipts

December 01, 2022

Obligation receipts and how to transfer borrower rights on NFTfi

An obligation receipt allows its holder to exercise the right to get the NFT asset back once the loan is repaid, and borrowers can now transfer or sell it. This feature is not yet officially supported!

Learn more >

Put your NFTs to work and get the liquidity you need.