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A Top Bored Ape Holder Embarks on NFT Loan Challenge

Bored Ape Yacht ClubFranklin, renowned holder of 47 Bored Apes, has set a public challenge for himself: borrow eth against Ape #6501 and try to beat out the interest accrued on the loan by flipping NFTs to a profit over the course of 90 days. Using NFTfi, Franklin quickly obtained 45 eth at a stated rate of 25% APR. That’s approximately $133,000 backed by a jpeg of an off-white-skinned grinning ape with detached eyeballs.

By his calculations, he now needs to play the NFT market in such a way that he earns 2.9 eth more than what he just got. NFTfi previously shared with deCashed that borrowers have had a pretty good success rate with doing just that.

“Almost all of [the borrowers] are making way more than that in return by putting that capital to work,” said NFTfi CEO Stephen Young. “Obviously it doesn’t always work out for people, but these are people using these things as financial tools as part of a broader strategy during in which that type of transaction makes sense.”

Since the ethereum blockchain is public, Franklin’s moves would be revealed whether he shared them or not. His reason for sharing, however, is so that nobody is left wondering. “I don’t recommend anyone borrowing money, I just tweeted my move since it would be shown on the blockchain that I have one less ape,” he tweeted

As a top-7 BAYC holder, it’s important that everyone knows the motivation behind his every move.

deCashed will be following his journey and will report back.