PaddleFi Launches NFT Money Market on Berachain – Redefining Digital Asset Financialization with bitsCrunch
Berachain, May 20, 2025 – Paddle Finance, the pioneering multi-asset DeFi protocol for discrete assets, has officially launched NFT Money Market – the first NFT money market on Berachain. This is a groundbreaking NFT lending platform, providing scalable liquidity, security, and superior capital efficiency. Notably, the system is directly integrated with bitsCrunch – the leading NFT analytics and valuation unit – to ensure accurate valuation and comprehensive risk management.
Redefining the NFT Lending Model
PaddleFi’s NFT Money Market operates on a Peer-To-Pool model, allowing NFT owners to borrow funds instantly through isolated liquidity pools instead of traditional manual order matching. Each pool is optimized for a specific NFT collection, minimizing systemic risk and increasing transparency.
The elements that make up each pool include:
Acceptable Collateral: Only specific NFT collections are approved.
Collateral Factor: Determines the loan limit based on the riskiness of each NFT.
Flexible Interest Rate Model: Customizes to the usage level of each pool.
How it Works: Simple, Controlled, and Efficient
Users can deposit their NFTs into PaddleFi’s vault system to borrow money almost instantly. Lenders will deposit funds into pools they trust and receive iTokens – representing their stake and the yield accumulated over time.
All loans are open-ended, allowing borrowers to repay at any time. In the event of exceeding the borrowing threshold, only the collateral involved will be liquidated, leaving the rest untouched.
A Practical Solution to the NFT Liquidity Problem
PaddleFi addresses major barriers to the NFT market such as limited liquidity, inconsistent pricing, and lack of support from existing DeFi protocols. The isolated pool mechanism combined with dynamic pricing optimizes capital efficiency and protects investors from market-wide volatility.
bitsCrunch: Data Intelligence as the Foundation
The integration of bitsCrunch helps PaddleFi improve the accuracy of asset management and liquidation. With the Real-Time Price Index API, bitsCrunch provides live market data, supports borrowing threshold calculation, and reasonable pricing. In addition, bitsCrunch's cross-chain capabilities extend PaddleFi's compatibility beyond Berachain, increasing comprehensive liquidity.
Early Adoption and Multi-Chain Expansion
In the early stages, PaddleFi launched the NFT Money Market for prominent collectibles such as Steady Teddys, Bullas, and Yeetards, each with its own pool to reduce cross-risk. In the next roadmap, the protocol will expand to Base, Matcha, and Apechain, enabling NFT lending across multiple EVM ecosystems.
The Future of PaddleFi: Becoming a Multi-Chain Economic Layer
With its inception in the NFT money market, PaddleFi is aiming to provide on-demand liquidity solutions without affecting market value. The protocol is also expanding into RWAFi (Real World Asset Finance), which allows NFTs to be combined with real assets, creating advanced financial products such as insurance, asset swaps, and flexible investment structures.
About PaddleFi
PaddleFi is a pioneering multi-asset DeFi platform, providing smart liquidity solutions for isolated digital assets. With a vision to become the economic layer of a multi-chain world, PaddleFi is redefining how digital assets are used, exchanged, and financialized in the Web3 era.