Someone Took Over $1 M Loan Using NFT T-shirts as Collateral

Last updated: September 2, 2023 11:57 AM

Published 2023-09-02

Twitter user Cirrus announced that someone has taken a $1,100,000 on-chain loan from a total stranger using an NFT as a collateral.

On the platform Twitter, now known as X, Cirrus has posted the news, where he also mentioned that the loan had been taken using NFT representing ownership of a complete set of Supreme Box logo T-shirts.

Cirrus says, “The 1000lb+ set was sent to an escrow company who then sent back NFTs representing ownership of the shirts.” After that, the borrower used the NFT to access global liquidity.

If the borrower will not pay back, then the lender can use the NFTs to redeem the shirts. The Cirrus mentioned that couple of years ago, Christie’s assessed the collection of 291 shirts for $2.5 million.

Also Read: NFT Market Experiences Worst Liquidation in History: Cirrus Report

Disclaimer: The information researched and reported by The Crypto Times is for informational purposes only and is not a substitute for professional financial advice. Investing in crypto assets involves significant risk due to market volatility. Always Do Your Own Research (DYOR) and consult with a qualified Financial Advisor before making any investment decisions.

Follow The Crypto Times on Google News to Stay Updated!