https://www.coindesk.com/business/2022/08/19/many-bored-ape-nfts-are-in-danger-of-getting-liquidated-as-borrowed-money-comes-back-to-bite/

  • Prolefarian [he/him]
    ·
    2 years ago

    I'm a dumbass.. what does that even mean?

    People took out loans to buy apes and now their apes are getting repo'd?

    • Huldra [they/them, it/its]
      ·
      2 years ago

      If I understand correctly, they took out a loan to buy an ape(a speculative asset) and the loan was for a certain percentage of the price of the NFT asset at the time, which has now fallen significantly, and the loaners must either pay off the loan to keep the ape, or the lender platform will liquidate the ape to recoup costs.

      Thats basically the situation as I understand it.