The company has only 12,5 WETH left to pay its creditors

Almost all of the funds were withdrawn from the BendDAO lending platform’s contract

22.08.2022 - 15:55


2 min

What’s new? The director of research at Proof, known under the pseudonym NFTStatistics.eth, reported that crypto lending platform BenDAO owed creditors 15 000 ETH (~$23,63 million at the Binance rate as of August 22). Only 12,5 wrapped ETH (WETH) дкае in the contract, leaving users who lent money to others via BendDAO to buy NFTs on leverage cannot withdraw their money. This means that borrowers must pay 100% on their borrowed ETH.

What else did the analyst report? The expert noted that many NFTs that were used as collateral have been defaulted and currently do not have bids. In this regard, more NFTs that are on the brink of default and are being auctioned due to falling minimum token prices or rising debt and high-interest rates have been added to the platform’s alert list.

Comments from the representatives of BendDAO. According to the co-founder of BendDAO, known by the nickname CodeInCoffee.eth, the team is working on a proposal to change the parameters of the NFT lending platform. The update will take effect 24 hours after it is approved through a voting process.

BendDAO is a decentralized, non-custodial NFT-based borrowing and lending protocol in which users can participate as depositors or borrowers. Depositors provide ETH liquidity to the lending pool to generate passive income, and borrowers can instantly borrow ETH through the lending pool using NFTs as collateral.

On August 22, daily revenue for GameStop’s NFT marketplace, launched in July 2022, fell below $4000. In the last 24 hours, the platform’s sales volume was $177 270. Because the marketplace charges a 2,25% fee on NFT sales, it generated revenue of $3988 in 24 hours.

Subscribe to Getblock Magazine and stay up to date with the latest news from the world of cryptocurrencies and the digital economy