đ¸Buy NFTs
I am sold! How can I buy NFTs through Robox.Fi?
How NFT Pricing Works
When purchasing an NFT on our platform, the price you pay consists of two parts: the amount you pay upfront and the loan we provide. The total NFT price is calculated as follows:
Total NFT Price = "I will pay now" + Loan Amount
Setting Your Price
To set your price, you can specify a minimum price you're willing to pay for the NFT. This is known as the "I will pay now" amount. We offer a slider that lets you adjust the loan amount based on the minimum price you set. If you choose to pay a higher amount upfront, we'll loan you less, and if you set a lower minimum upfront payment, we'll loan you more.
Our Loan
The loan amount we provide is dependent on the minimum price you set. If you specify a higher minimum price, we'll loan you less, and if you set a lower minimum price, we'll loan you more.
Duration and Interest
When opening a position, users can select the duration of their loan, which will determine the interest rate they will be charged. The longer the duration of the loan, the higher the interest rate. For our MVP, the maximum loan duration is 14 days, and the interest rate is calculated using a simple linear function based on the following formula:
Interest Rate (%) = Duration * Base Interest Rate
Interest (SOL) = Duration * Base Interest Rate * Loan Amount
The Base Interest Rate is the interest rate per day, which is currently set at 0.25%.
Liquidation Price and Liquidation Fee
In the event that your NFT needs to be liquidated, it can happen in two ways: through a margin call or expiration. To prevent liquidation through a margin call, you need to monitor the liquidation price of your NFT. If the instant sell price (highest bid) of the collection drops too low, your NFT will be automatically sold on to the highest bidder (on Tensor or Hadeswap). In the event of liquidation through expiration, you will need to sell or repay your position on time.
If your NFT is liquidated, we will take a 5% liquidation fee from the borrowed amount. The liquidation price is calculated using the following formula:
Liquidation Price = Borrowed Amount * (1 + Interest (%) * Duration + Liquidation Penalty (%))
Where the Liquidation Penalty is 5% and the Interest (%) is the interest rate of your position. Duration is the number of days since the position was opened. The Borrowed Amount is the total amount borrowed from the platform to open your position.
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