Salvor, a peer-to-peer (P2P) NFT and memecoin lending protocol on the Avalanche C-Chain, has joined the Avalanche Rush Program, receiving up to $1M in AVAX funding from the Avalanche Foundation. The Salvor platform enables users to use their NFTs and memecoins as collateral for AVAX loans, enhancing liquidity and adding financial flexibility to the Avalanche ecosystem.
Salvor and Avalanche Rush
The Avalanche Rush Program, a liquidity mining initiative launched in 2021, aims to energize the Avalanche DeFi ecosystem, making it more accessible, decentralized, and cost-effective. Participants in Salvor’s Avalanche Rush program segment can earn points by creating loan offers, borrowing, listing, bidding, and trading.
These points can lead to rewards paid in AVAX or Salvor’s native ART token, and progress and rankings are visible on the Salvor real-time leaderboard.
Furthermore, Salvor Lending has introduced strategies to improve capital efficiency within the Avalanche NFT and DeFi ecosystems. The system helps users obtain loans using their NFT and memcoin portfolios instead of selling them. This approach allows lenders to earn passive income while borrowers can quickly access liquidity.
Lenders can also provide short-term loans to earn interest profits. If a loan (principal plus interest) isn’t repaid on time, it automatically goes to a Dutch auction, allowing lenders to recover the amount and possibly profit.
According to Utku, the founder of Salvor, “We started as an NFT marketplace to make trading easier for our users. By introducing P2P NFT Lending, users can now borrow funds against their NFTs without selling them. We believe this will play a key role in supporting healthy ecosystems. Our primary focus is to make NFTs more liquid.”
Enhancing User Experience
Salvor offers features that streamline high-volume NFT trading, such as executing multiple buy, sell, and transfer orders across collections in a single transaction. This not only saves time but also reduces gas fees.
Additionally, it includes a dedicated pool balance for easier management of bids, offers, and loans and supports trait-specific bidding across collections. More benefits include lower interest rates for early loan repayments and the availability of fungible token lending.
Aytunc Yildizli, CEO of the Avalanche Foundation, commented on the partnership: “By facilitating secured loans against NFTs, Salvor not only potentially enhances liquidity but also widens the scope for NFT owners to engage in the financial ecosystem without selling their assets.”
Since its November 2022 transition from an art-focused marketplace to a trading and lending platform, Salvor has introduced several features, including NFT liquidity pools and a P2P lending protocol for meme coins. Moreover, the platform supports over 800 NFT collections, including notable Avalanche projects like Dokyo, MadSkullz, Chikn, and Steady.