Investor's NFT Loan Costs Him 11 ETH (14,250 Dollars)!

A Mutant Ape NFT holder who took out an 11.5 ETH (Ethereum) NFT loan and couldn't pay it back announced that he lost his NFT. Loans have recently become more common in the NFT world. In NFT loans, investors use their NFTs as collateral for large sums of money. But like real-life loans, there are risks involved. Also, transactions often do not work out in the borrower's favor. In this case, the investor lost an extremely valuable NFT.

NFT loans are a significant risk for both parties. People should also be careful when considering this NFT loan event. Often the legal protections provided with regulated loans are not the same. There are also many gray areas. However, many people are able to use them successfully. An investor considering an NFT loan should be very careful and do their own research. The risks and benefits should be taken into account. CirrusNFT first tweeted about the loan. The tweet read, 'someone failed to pay their 11.5 ETH loan for this mutant on time this morning. Foreclosure proceedings were completed within an hour. It was also subsequently put up for sale and sold for 22 ETH. If you are going to use loans, responsibilities must be fulfilled. Borrow responsibly, my friends,' he wrote. Statistics show that the value of the MAYC NFT base price is around 14 ETH. The NFT in question, Mutant Ape 10269, was sold for 22 ETH. This means that the initiator of the NFT loan lost 10.5 ETH. The person behind the loan also commented on the situation in response to the tweet. The lender, known as GmPotatodog, tweeted: 'I was the lender. I agree with the sense of caution, but the context is a bit different here. The borrower was attacked. Also for this reason he could not pay back. We got in touch some time ago. I sent him the income above the repayment so that he can make amends'. To clarify, the investor who took out the loan claims to have suffered a hacking attack. As a result, the borrower was unable to repay the loan. The lender also profited from the sale of the foreclosed NFT. The lender claims that he sent ETH in excess of the loan amount to the victim to help him. Follow Global Economic Developments on Social Media! Click here to follow Ieconomy official Facebook account! Click here to follow Ieconomy official Instagram account! Click here to follow Ieconomy official Twitter account!