The NFT market is moving forward with the debut of the Profile Picture Collection, following the tremendous surge in NFT trade volume in 2021. There are now various ways to make money with NFTs:
You can earn returns on NFTs by locking them in safes. You can participate in NFT play-to-earn games to earn returns on in-game assets. You can borrow against your NFTs by collateralizing them.
As a result, we’ve compiled a list of the top 15 high-yielding projects in this guide; keep reading to learn more.
Yield Generating NFT Projects
When used to create tokens and add to liquidity pools for DeFi, NFTs can generate passive income with large percentage returns even if they do not inherently generate yield. Playing games and employing vaults are two additional ways to generate yield on NFTs.
NFT lending platforms are another type of NFT protocol that generates yield. Owners of NFTs can use them as collateral for loans, while lenders have the chance to earn a yield on other people’s NFTs and possibly purchase them for less than their market worth.
Here’s the list of the top 15 NFT generating projects:
With the help of the intelligent NFT minting platform charged particle, you may combine uncommon NFTs to create a collection of yield-producing NFTs. With charged particles, users are able to deposit any ERC-20 tokens or NFTs into a new NFT that has accrued on platforms like Aave.
An example would be that Charged Articles distributes bags (the new NFT), where you may store your other assets (other NFTs and tokens), and this bag generates the yield.
Newly formed NFTs may be time-locked (assets cannot be withdrawn before a specific time) and charged (assets backed by Ave’s eToken may be traded, using up their liquidity). It is also possible to program assets and the interest they generate.
In March 2021, 1,000 pixelated app NFTs were assembled to form CyberKong. One of the most valuable NFT collections in the world, the project soon received a lot of attention and peaked at position 20 by price floor. Later, the BANANA token was introduced, allowing KongZ NFT holders to produce yields in a passive manner.
For the next ten years, each Origin CyberKong will generate 10 bananas per day, making them a hassle-free source of passive NFT income. Although they can spawn offspring and Kong holders can mint free Koberkong, only the first 1,000 Genesis Kongz produce yields.
A DeFi RPG called Bunion makes use of NFTs to fund its prizes for successful crop farming. Bunicorn uses the conventional liquidity mining method to distribute its BUNI tokens, in which users can stake their BUNI tokens or add liquidity to the token pool. Bunnicorn made the decision to encase the farming rewards in NFT collectibles in order to avoid token dumping.
Users may opt to trade their NFTs, which are backed by the underlying assets but are only accessible after a vesting time. As a result, even if NFTs themselves do not technically provide any yield, the underlying agricultural benefits do.
In order to attract players to their platform, Mobox, a community-driven GameFi platform, leverages NFTs to generate cash incentives. Its MOMO NFTs can be acquired through the game’s Mystery Boxes or by buying them from the Market and then wagering them to get MBOX Tokens.
By ingesting NFTs from other MOMOs, each MOMO can increase its randomly produced hash power. NFTs can be coupled to maximise their return and add hash power. Your weighted average of the whole platform hash power will determine how many MBOX tokens are mined. The overall platform hash power determines how many MBOX coins are issued each day as well. Additionally, Momo NFT can be lent out to other users.
Another NFT game with farming components is called Zookeeper. With their own zoo animals serving as the pools’ mascots, players can access numerous liquidity pools. By supplying liquidity to one of the farming couples, they can improve their payouts and acquire ZOO and WASP tokens.
To boost the player’s agricultural rewards, NFTs are used. To win NFT boosters, they can be staked or used in “campaigns”. The player’s chances of earning NFT boosters increase with campaign cost because different campaigns have varied zoo prices.
NFTX creates liquid markets for illiquid assets such as NFTs. Users place NFTs in an NFTX vault and receive an ERC-20 token in exchange (called a vToken). This vToken entitles you to a random or particular NFT from the vault.
NFTX seeks to improve the distribution and price discovery processes for NFTs. NFTs are now illiquid, and even valuable NFTs can be liquidated fast if they are underpriced. Users can instantly access the liquidity of an NFT by selling the vToken on a DEX or staking their tokens to earn a dividend on their NFT by depositing it into an NFTX vault.
Possessing a portion of an NFT is another way to earn yield. To earn an alluring income, investors can purchase a portion of a CryptoPunk and stake their claim in the Punk/ETH liquidity pool.
NFTfi is a P2P NFT lending platform where NFT owners can use their tokens as collateral to borrow wETH or DAI. NFTfi is the dominant player in this developing industry even though it does not yet have a token and has a cumulative loan volume of $150 million spread across more than 8,000 loans.
NFTfi, a peer-to-peer marketplace, uses distinct loan quantities, terms, and interest rates. With average loan terms ranging from 7 to 90 days, borrowers list their NFTs and include their conditions. Lenders can either accept the terms proposed or make a counterproposal. Following agreement on the loan, the NFT is transmitted to an escrow smart contract, where the loan is then completed.
Only when the due date has gone and the borrower hasn’t made all required payments on the loan and interest does it go into default. Thus, if the loan amount is less than the value of the collateral, there are no automatic liquidations. Depending on the length of the loan, a borrower must pay an average annual percentage rate (APR) of 49 percent.
A peer-to-pool NFT lending platform is BendDAO. In exchange for access to ETH, borrowers lend a liquidity pool their NFTs as security. An NFT holder can get a 30–40% loan by bundling their NFT into another token (called boundNFT).
A 48-hour liquidation protection period shields NFT holders from unexpected liquidation, while lenders are secure because the NFT collateral is held in a smart contract. The floor price of the collection establishes the collateral amount. Therefore, even rarer NFTs can only fetch 30–40% of the floor price, in contrast to P2P lending markets.
Bored Ape YC, CryptoPunks, Mutant Ape YC, Azuki, Clone X, and Doodles are the only six active pools that BendDAO currently offers. Borrowers, however, can currently earn by collateralizing their NFTs when BEND liquidity mining rewards are taken into consideration.
Similar to NFTfi, Arcade is another platform for peer-to-peer lending. Owners of NFTs wrap their NFT and establish a loan request with specific terms and a time frame for repayment. There is no maximum loan-to-value or APR imposed by the platform, and lenders are free to counter offer or accept.
Arcade offers more loan assets than NFTfi, including USDC, USDT, and others, and typically has better APRs. However, Arcade only offers a small number of whitelisted collections, and the total loan value is only about $20 million.
Users can build non-fungible loan positions using JPEG’d, another peer-to-pool lending platform. The floor price of whitelisted collections like Bored Apes and CryptoPunks allows NFT owners to borrow up to 32% of the collection’s price by locking their NFTs as collateral.
A synthetic stablecoin that can be used as liquidity is created by the protocol. The DAO handles liquidations; if the NFT exceeds its loan-to-value ratio, it may opt to keep it, sell it on the secondary market, or purchase it over the counter.
Although the ApeSwap Treasury Bills are not a direct means of generating income on NFTs, they are nevertheless a compelling investment. Treasury bills are non-fungible tokens that represent the output tokens (either BANANA or partner project tokens) and vest over time. Investors can purchase them on ApeSwap.
There are 2 types of treasury bills available:
BANANA Bills: Provide BANANA tokens at a lower cost than the going rate. Each BANANA bill is an NFT that can be exchanged into BANANA in the future. Users can profit from a yield on their NFTs thanks to this, and the protocol can generate its own liquidity.
Jungle Bills: function similarly to BANANA Bills. The main distinction is that you are saving money by purchasing partner tokens rather than ApeSwap’s native token. This is a fantastic chance for ApeSwap partner protocols to raise money.
On the Binance Smart Chain, DeFiFarms is an NFTs protocol, robust yield farm with automatic liquidity acquisition, and decentralised exchange with AMM. The platform’s governance token is $DEFIY.
The newest financial technology is called NFTs. In DeFi, NFTs and the ERC-721 standard have limitless possibilities. DEFIY wants to lead the way and be among the first to make this potential known to the general public. NFTs will be used in every new DeFi project before anyone realises it since the cryptosphere develops quickly.
Your stake is wrapped in NFTs by DeFiFarms, which you can burn to unstake or just sell on the DeFiFarms marketplace. If you decide that selling the NFT would be more profitable for you than leaving it staked, this can reduce temporary loss.
Meme (Farm limited edition NFTs)
MEME is a test protocol that combines some of the most intriguing developments in DeFi and crypto-collectibles. Utilise your $MEME by gathering only NFT memes. To access Meme’s collection of legendary cards, stake LP tokens.
Meme is an enthusiastic group of people who are interested in experimenting with DeFi and NFTs. Meme tokens can be staked by users to gain incentives and obtain limited-edition NFT products and artwork. You farm pineapples when you bet $MEME tokens.
You can exchange your pineapples for NFTs once you’ve harvested enough of them. Pineapples can only be exchanged for NFTs on the Meme marketplace and are non-transferable. Users can also use their existing NFTs from partner projects on Meme as a stake to grow pineapples and earn more NFTs.
A dedicated community called SuperFarm is emerging at the nexus of NFTs and DeFi.
Creators, collectors, and traders of NFT are given the ability to participate in a market for NFT that is available to everybody thanks to SuperFarm.
Super Farm now only offers an NFT launchpad and NFT farming, but NFT generation, a market place, and trade are in the schedule for 2022.
In the grand strategy game Star Atlas, players can explore space, conquer territory, rule over politics, and more.
Blockchain technology, real-time graphics, and multiplayer video games are all combined in Star Atlas, a virtual gaming metaverse, to provide a novel gaming experience. In addition to being entertaining to play, Star Atlas offers users the chance to make money in the real world by collecting in-game currency and selling one-of-a-kind NFT items.
Grand strategy hybrid space game Star Atlas features serverless MMO multiplayer. Real-time gaming will be used throughout, and the blockchain will be used to provide players ownership over in-game assets, add gameplay features based on economics, and construct an economic system modelled after decentralised finance. POLIS is the game’s governance token. The Solana blockchain is the foundation of Star Atlas.
Learn more: https://fxcryptonews.com/?s=nft+projects