One of the largest cryptocurrency exchanges has invested $12 million in an upcoming NFT renting marketplace.
With NFTs gaining massive attention from the mainstream media, they have become desirable assets for both collectors and investors.
Based on the official report by IQ Labs, the platform has secured a $12M funding round, led by Crypto.com capital. Other investors include Genblock Capital, Kronos Research, GSR, Axia8, Genesis Block Ventures, Argo Labs, Cryptology AG, MEXC Global, and Republic Capital.
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The funds will be used to build on its initial success, with the priority being to launch the IQ Protocol’s native token $IQT in the near future.
As for the current operations of the IQ Protocol, it is basically a DeFi platform that lets NFT owners rent their non-fungible tokens to others for a limited time. The assets are not technically given to the buyers - they receive wrapped versions of the NFTs which disappear after the set timer has expired.
Bobby Bao, who is the Managing Director of Crypto.com Capital, spoke on the investment into IQ Protocol, stating:
"IQ Protocol’s wrapped expirable versions of digital assets are an innovative solution that enables collateral-less utility loans. We’re proud to co-lead IQ Protocol’s latest fundraising round and help pioneer new products alongside them."
The NFT renting platform has several ongoing partnerships with PARSIQ, Mogul Productions, Autonio, Mysterium, Sator, GEMS, DeNet, Radom Network, SolDrink, alongside blockchain gaming projects like Nyan Heroes, Battle Saga, Bitspawn, Chain Myth, Sorcery, Space Sip, Spark Era, and Zone of Avoidance.
With its NFT renting initiative, IQ Protocol seeks to provide users who are unable or have no desire to purchase high-valued assets to utilize them at least for a limited time. This is crucial for NFTs in blockchain gaming for people who may need a particular asset for a short period.
