NFT Lending Platform Arcade Raises $15 Million in Series A
For the first time, Arcade, a decentralized finance (DeFi) marketplace and lending platform for high-value non-fungible tokens, has received a total of $15 million in a Series A investment round (NFTs).
Venture capital firms such as Pantera Capital, Castle Island Ventures, Franklin Templeton Blockchain Fund, and Golden Tree Asset Management invested $15 million in Arcade. Zac Prince, CEO of BlockFi and Quantstamp, Richard Ma, also joined the newest funding round.
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Other companies in the DeFi industry, including Arcade, secured millions of dollars in investment this year. One of the most popular decentralized exchanges was recently funded by Three Arrows Capital and DeFiance Capital with a $10 million Series B investment earlier this year.
As part of its private release, Arcade enabled a $10 billion+ lender to lend $800,000 against an NFT portfolio, making it the biggest and first permissionless on-chain loan. More than $10 million in assets have been borrowed on the platform thus far.
According to Gabe Frank, the Co-Founder of Arcade, NFTs account for more than $200 billion in Total Locked Value in the DeFi business; however, the absence of infrastructure in DeFi hinders NFT holders from reaching liquidity despite enormous market capitalization.
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Earnity, a DeFi company, received $15 million in investment earlier this month to expand its operations. Arcade emphasized that the company’s latest financing would help it achieve its goal of supporting the broader use of DeFi and NFTs.
DeFi lending has never had it so good. Arcade is compatible with all ERC20 tokens, including wETH, USDC, and DAI, thus adding a new layer of usefulness to the ecosystem. In addition, the Arcade’s Wrapped NFT (wNFT) technology enables several NFT assets to be combined and used to buy a single loan, allowing for bigger loans and higher liquidity. Arcade open-source DeFi basic will also allow developers to build on top of the platform, allowing for the greater use of this new asset class,” the business noted.