Consumer Brief: Blur's Blend

Key Trends: Blur’s Blend

In the past year, Blur has altered the Ethereum NFT trading scene with its pro-trader UX and airdrop incentivization strategies. Within a short span of time, Blur managed to secure more than 50% of the NFT trading volume and a significant share of the overall user base.To capitalize on its momentum, Blur has strategically introduced Blend, its new NFT lending platform.

Despite a decline in NFT trading activity on Blur and other Ethereum NFT markets over the past month, Blur's lending platform experienced significant growth. Since its launch in early May, the daily volume of NFT loan originations has steadily grown by nearly 2x, reaching a level on par with Blur’s daily NFT trading volume.

Azuki, Bored Ape Yacht Club, and Cryptopunks are among the key contributors to the lending volume on Blend. Like other NFT lending platforms, Blend implemented a cautious approach by selectively allowing collateral from blue-chip NFT collections, which are considered to carry lower risk. These collections generally carry a higher level of liquidity and more stable floor price than typical NFT collections.