Revolutionize Your Income with UniBridge NFT Renting: A Beginner-Friendly Tutorial to Maximize Your Earnings in the Web3 Era! | by UniBridge Protocol

Besides being used as collectibles or profile pictures, what additional value do PFPs (Profile Pictures) offer? With NFT (non-fungible token) prices skyrocketing, it may not be worth it for the average person to spend money on a profile picture that can only be collected (and may not even be resold 😔). For most existing NFTs, their functions are more akin to permanent collections or membership cards, or their prices are too high to be quickly cashed out.

The NFT renting protocol provides an infrastructure for “renting NFT services” for a limited time period. By renting out NFTs through collateralized or non-collateralized modes, users who do not own the NFTs can rent and use their utility, while NFT lessors can earn rental income.

If you own an NFT, you can rent it out to others who need it for a short time. The NFT renting market uses blockchain technology, which, like DeFi, ensures the security of the rental transaction and guarantees the NFT’s return to the owner after the rental period ends.

Suppose John owns an NFT and wants to rent it out, while Amy wants to use the NFT.

1. John puts the NFT he wants to rent out into a smart contract hosted on the platform and sets the rental price and time.
2. 2. Amy chooses a rental period, and the rental fee is calculated based on the duration and rental price. Amy then pays tokens as rent and collateral. The custody contract then transfers the NFT from the contract to Amy’s wallet address. Amy now has ownership of the NFT.
3. 3. Before the rental contract expires, Amy must return the NFT to the custody contract to retrieve her collateral. John can then redeem the NFT from the custody contract and receive Amy’s rental payment. If Amy fails to return the NFT on time, she will lose her collateral as a penalty, while John will receive the collateral as compensation.

Renting is one of the essential activities in human society, whether it is for owners to cash out or for renters to use. Therefore, in the foreseeable future, with the development of the industry, NFT leasing will become an important part of the ecosystem.

It allows people to enjoy the value and benefits provided by NFTs without actually owning them. This is a very attractive option for those who want to participate in the NFT market but do not want to bear high risks.

In addition, NFT renting can provide more choices for those who want to use NFTs for specific purposes. For example, one can lease an art NFT for an exhibition or rent a in-game item NFT to other players to earn profits.

Especially in GameFi and the metaverse, NFT leasing brings asset management and liquidity to GameFi game guilds and metaverse real estate investors, and these empowerments will continue to develop the ecosystem towards prosperity.

UniBridge is the first empowering NFT rental platform in Asia, founded in 2022. Through the UniBridge platform, you can rent NFTs without spending a lot of money or taking on high risks, and use their empowering features.

Buying an NFT directly can be expensive, but renting it for a day is relatively cheaper. Moreover, if you have NFTs that you don’t use often, you can rent them out to others and earn rental income.

This type of sharing economy allows you to earn passive income by renting out valuable digital assets.

So, how can you start earning passive income by listing your NFTs? Let’s find out!

1. On the top right corner of the UniBridge homepage, click the wallet button to connect your wallet.

2. The wallet can be connected in three modes: Metamask, WalletConnect v2, and Particle Network.

3. You are now logged in.

4. You can select your preferred language and blockchain.

5. Click on “Account” to view your current NFT holdings, rentals, and leases.

6. Choose the NFT you want to rent out and click “Lend.”

Set the longest rental period, daily rental fee, category (game, empowerment, other), collateral mode (collateralized-free or collateralized), collateral amount, and currency (USDC, USDT, WETH).

Note:

1. Collateralized mode: The borrower provides cryptocurrency as collateral. Like a regular cryptocurrency loan, the lender will receive the collateral if the borrowed NFT is not returned.
2. Collateral-free mode: The process of renting with no collateral is similar to renting with collateral. The only difference is that the renter will not receive the original NFT, unlike renting with collateral. Instead, a wrapped NFT is generated for the renter, which has the same features as the original NFT. The wrapped NFT will be burned when the contract expires. Neither the renter nor the holder needs to provide any collateral. Therefore, the financial risk for both parties is reduced.
3. It is important to note that the purpose of collateral here is to allow the lender to take the collateral if the renter does not return the NFT when the rental period ends. Therefore, the collateral amount cannot be set too low. However, if it is set too high, it will affect the renter’s willingness to rent, so a reasonable collateral price needs to be set.

▲ Collateral-free mode

▲ Collateralized mode

8. Proceed to sign the contract and confirm the Gas Fee and other related fees.

9. When authorizing, a warning will appear: “You’re granting access to all your NFTs, including any you might own in the future. The party on the other end can transfer these NFTs from your wallet at any time without asking you until you revoke this approval. Proceed with caution.”

10. You can continue with the transaction after the authorization.

11. The listing is successful! You’re all set.

12. You can check the rental status through the marketplace homepage or the “Rental” tab in your personal account.

It’s so easy to become a landlord by simply listing your property for rent! Isn’t it convenient?

With the increasing demand for NFTs in the market, renting has become a necessity for both owners looking to monetize their assets and renters looking to use them. As the industry continues to develop, especially in GameFi and the metaverse, NFT renting will provide asset management and liquidity for game guilds in GameFi and real estate investors in the metaverse. These capabilities will contribute to the ecosystem’s prosperity and development, making them a critical component of the blockchain ecosystem.