Uniswap Expands NFT Market Coverage
Uniswap is negotiating seven landing protocols. Thus, the platform plans to solve the problem of asymmetric information about tokens and the uneven structure of their liquidity.
This was stated by the representative of the exchange, Scott Lewis. He noted that the site is interested in each individual protocol, and is also open to other possible cooperation in this direction.
Lewis’s statement caused a mixed reaction in the community. Some community members supported this idea, as Uniswap could become a unified interaction tool for users to participate in the liquidation process and auctions.
However, other commentators pointed to possible selfish motives of the exchange. Uniswap can simply “cash in” by selling NFTs at the liquidation price and taking profits.
Notably, in response to Lewis’s statement, representatives of other platforms approached him with an offer of cooperation. Among them were, for example, Unlockd_Finance and Liquid NFT.
Note that one of the ways to financialize tokens is through loans. In this case, NFTs act as collateral. However, such a loan mechanism has a significant drawback – if the price of an asset falls, it can be subject to a forced sale.
This scenario happened with BendDAO. After that, the platform replaced the mechanism for working with collateral tokens, offering to adjust the liquidation threshold when the price falls.