Zash, a commercial-grade blockchain indexer, has teamed up with Nexo. Nexo will add Zash support to its platform as part of the partnership.
Efficient NFT lending
The development is part of Nexo’s larger effort to draw more funds from the cryptocurrency market and broaden its services. Nexo’s NFT Lending Desk stands to benefit greatly from Zash’s core data infrastructure, which is expected to enhance the company’s NFT pricing mechanism and the creation of real-time valuation models.
Parit Patel, CEO & Cofounder at Zash, commented on the development:
The financialization of NFTs is inevitable as NFT holders seek to unlock liquidity in these challenging markets [..] we’re thrilled to be working with an established brand in cryptocurrency lending in its efforts to expand its capabilities in NFT pricing, valuation, and lending.
Nexo introduced its NFT Lending Desk in the non-fungibles market in December 2021. Through a white-glove service with dedicated account managers, no pre-maturity liquidations, and no credit checks, consumers were able to immediately access the liquidity locked up in their NFT holdings.
Since then, Nexo has made the $3.3 million loan that is backed by NFTs and is the largest in the world. Their most recent NFT was issued against two extremely rare Mutant Apes and was backed by $1.3 million.
Regulatory pressure remains
This news comes weeks after eight states in the United States issued a cease-and-desist order against Nexo on September 26. The states’ complaint was that Nexo distributes unregistered securities to investors without disclosing the potential downsides of doing so.
For instance, authorities in Kentucky have claimed that Nexo is insolvent since “liabilities would exceed assets” if the company didn’t have its native token, NEXO.
