Last updated
Last updated
The dynamically-shifting landscape of NFTs has recently introduced concepts such as orderbook trading and brought lots of liquidity onboard.
Blur, an NFT trading platform with its governance token, $BLUR, operates within this sphere. Offering unique incentive systems and a peer-to-peer loan protocol, Blur has a significant impact on the market dynamics of NFTs.
However, despite its innovative approach, this essay points out that Blur presently creates a dichotomy between “mercenary” and “genuine” market participants, destabilizes NFT prices, and engenders a cyclic dumping problem, potentially undermining the platform’s long-term sustainability and the overall health of the NFT market.
Blur is an NFT trading platform. $BLUR is the governance token for the Blur platform.
$BLUR Season 2 Airdrop is a system for rewarding a few types of behavior, using a formula determined by time active multiplied by size.
Blur liquidity providers are rewarded in three ways: Bidding, Listing and Lending. The vast majority of incentive seekers (“farmers”) are opting to use bidding to get points, as it requires only ETH exposure, which is the least risky asset, and can even be hedged with short futures, allowing for theoretically nearly-risk-free farming.
Blur Points are awarded on a size and time basis: the longer you participate with more size, the more points you get. This applies to lending, bidding and listing points.
The best strategy to farm points is to bid far enough away to never get filled but close enough to get a fair amount of points.
But what if you get filled? You still want to be bidding but you have NFT assets now. NFT assets on Blur have a 1 hour grace period to sell.
In this case, you would list the NFTs, and in the (very high) chance they don’t get bought, you would simply sell them right back into the bid; then, you’re at full bidding power for at least 12 hours a day, and when you’re not, you’re getting listing points too.
