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Bend is a decentralized NFT liquidity protocol built as a peer-to-pool system. Depositors supply ETH to the lending pool to generate interest, and borrowers can take out ETH from that pool right away by putting NFTs up as collateral. With Bend, NFT holdings can be grouped and transformed into boundNFTs, enabling NFT-backed borrowing.
For use as collateral, borrowers (NFT holders) combine their NFTs into a separate token called a boundNFT using the Bend Protocol so they operate as one collateral unit.
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