Pantera Capital's Focus on NFTfi

I'm a dedicated subscriber to several newsletters, and one that never fails to captivate me is Paul Veradittakit's Veradi Verdict. Paul, the Managing Partner at Pantera Capital, delves into the web3 industry's pulse every week, sharing insights that resonate deeply as Pantera actively supports crypto-native ventures.

In a recent Veradi Verdict titled "NFTfi," Paul spotlighted Arcade.xyz, a web3 platform revolutionizing lending and borrowing against NFTs. The staggering statistics speak volumes: ~$150M in NFT-backed loans, $27M in TVL, and $14M in active borrowings within just about two years since its early 2022 launch.

The prospect of NFTfi's trajectory has me genuinely thrilled for three compelling reasons

1. NFTfi becomes mainstream when a meticulous goliath like Pantera funds a startup
2. NFTfi is unlocking the on-chain liquidity for not only the native on-chain assets like NFTs but also the off-chain assets like luxurious RWAs. It creates financial rails for traders to get exposed - via lending or borrowing - to the yield-generating REAL assets.
3. It's essentially creating the breeding ground for more spot liquidity and making the ground fertile for more exotic financial options like derivatives, that's where NFTFN shines.

Synergy and Mutual Growth

Arcade and NFTFN, while following distinct trajectories, share a common vision—amplifying the utility of NFTs in the financial sector.?

Arcade's triumph in NFT-backed lending complements NFTFN's derivative trading platform, collectively broadening NFT-Fi's horizons. As Arcade introduces more RWAs to the blockchain, NFTFN's index-based trading could seamlessly integrate these assets' spot market, fostering a more interconnected and dynamic market.

The Bull Case for NFTFN

Investors - retail or Venture - looking at the NFT-Fi space should consider the complementary roles of Arcade and NFTFN. NFTFN's platform, with its innovative financial products, stands to benefit from the increased acceptance and diversity of NFTs as collateral, a trend propelled by Arcade's success. The growth potential for NFTFN lies in its ability to adapt and integrate these evolving asset classes into its trading mechanisms, offering everyone a unique investment opportunity in a rapidly expanding market.

Redefining the NFT Landscape

The journey of Arcade and NFTFN is more than just individual success stories; it's about the collective evolution of the NFT space. From Arcade's pioneering steps in NFT-backed lending to NFTFN's groundbreaking NFT x DeFi platform, we both are hustling to redefine the boundaries of NFT utility. For all stakeholders, this represents not just an investment opportunity but a chance to be part of a transformative movement in the digital asset world.

We're about to hit mainnet soon with our product. We look forward you to following NFTFN on Twitter and joining Discord.

I insist you to see our product in action. Here's the product's loom video.