Zoracles to Launch Unibond Financial NFT Marketplace
A credit score is a statistical value or number that helps lenders assess the creditworthiness of their customers based on their past credit and repayment history. Zoracles has developed an on-chain solution called the Zora Score to calculate the creditworthiness of an Ethereum wallet based on factors such as the age of the wallet, DeFi activity, and loan repayment.
Credit scores are standard in traditional finance and are necessary for making and issuing loans. Zoracles has developed an API for Zora Score that allows decentralized crypto lending platforms to not require collateral due to their algorithmic scoring. This was the first in cryptocurrency projects and protocols.
The Zoracles product team will implement the Zora Score in an NFT marketplace to serve as a data point for buyer and seller reputation. Hacks are common in DeFi, and this metric protects market participants from transacting with people with a bad DeFi reputation or in connection with banned wallets.
Zora Score was very different from the typical scoring system of a rating agency. Consumers have the opportunity to enhance their traditional creditworthiness with complementary products and services from companies like Credit Karma and credit partners like banks.
In this era of financial uncertainty and rapid advancement, the pace of crypto protocol development is no different. Zoracles has contacted several major protocols that have requested submission of their Zora score before implementation. The team then developed an NFT exchange product to meet the needs of more extensive lender protocols and generated a lot of interest in the standalone product. The product has evolved and includes not only exchanges of NFTs, but also data analysis to assign value to these NFTs.
Next Evolution: UnibondIn early May, Uniswap v3 introduced a concept called concentrated liquidity positions, expressed as NFT. Generally, liquidity providers are tasked with specifying a price range for their token pairs. These positions are converted to NFT based on the unique parameters underlying each asset.
Uniswap v3 NFT is currently an underserved market, while art and collectibles NFTs will have sales of more than 2.3 billion in 2021.
Zoracles plans to use as much data analytics as possible to help buyers and sellers fix the price of your liquidity positions based on the percentage of time spent in the area and other factors the team is currently considering, including historical APY. This would resolve an essential missing piece that other Uniswap NFT Assets NFT markets have that do not guide the price of this new asset class.
Read more: https://www.newsbtc.com/news/company/zoracles-to-launch-unibond-financial-nft-marketplace/
Text source: NewsBTC
