NFT Lender, Shut In Jan, Calls for $500 For Late NFT Withdrawal

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Parallel Finance Quits NFT Area Consumer To Pay $500 For Late NFT Withdrawal Associated NFT Information:

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Parallel Finance, a famend non-fungible token lending protocol, has reportedly shut down after 4 years of service supply. Sadly, a whole lot of hundreds of {dollars}’ price of high-profile non-fungible token collections have remained caught inside Parallel Finance contracts after the NFT platform quietly shut down its lending product earlier this month. On this article, we are going to focus on this information bulletin in depth.

Parallel Finance Quits NFT Area

Earlier this week, speculations emerged that Parallel Finance had shut its doorways after 4 years. On-chain sleuth 0xQuit drew consideration to the difficulty over the weekend, posting on X that collections like Bored Ape Yacht Membership, Mutant Ape Yacht Membership, and Doodles had been nonetheless sitting inside Parallel vaults. Primarily based on present ground costs, the stranded non-fungible tokens are valued at over $800,000, although some uncommon traits might push the quantity even larger.

The vaults of the now defunct Parallel Finance personal 11 BAYC, 39 MAYC, and a couple of Doodles. The frontend is deprecated, leaving nontechnical customers caught, and the founder is charging a $500 payment to assist.
In case your property are caught, here is a step-by-step to extract them:
1/🧵 pic.twitter.com/JFJSDqEfPK
— Stop (@0xQuit) August 21, 2025

Parallel Finance is a crypto liquidity lending platform offering a collection of economic merchandise, together with liquid staking, cash market companies for lending and borrowing, cross-chain, and crowdloan companies for parachain auctions. It goals to extend capital effectivity and accessibility in DeFi, permitting customers to earn passive earnings from their staked property whereas sustaining crypto liquidity by by-product tokens. It additionally beforehand supplied crypto liquidity lending utilizing NFTs as collateral.

Earlier this yr, Parallel Finance introduced that NFT lending, together with different companies, could be discontinued on August 1. On the time, it gave customers half a yr to withdraw their NFTs. However with NFT exercise far under its 2022 peak, many missed the deadline. Now that the positioning’s withdrawal timeline is much gone, the platform is demanding some payment from customers to get well digital property manually by blockchain interactions on Etherscan.

Consumer To Pay $500 For Late NFT Withdrawal

In an August 22 screenshot, shared by 0xQuit, Yubo Ruan, the chief govt officer of Paralell Finance, confirmed that late withdrawals will value customers $500 per digital asset, a coverage that has sparked frustration amongst NFT holders. In messages to Protos, Ruan defended the stance, urging folks to observe group guides like 0xQuit’s tutorial as a substitute. He additionally warned that any NFTs not reclaimed would finally be liquidated to return funds to lenders.

Parallel Finance joins a quickly rising listing of NFT market platforms which have exited the NFT house. A number of the platforms which have just lately exited the NFT market embody Bybit’s NFT Market platform, Kraken’s NFT Platform, Animoca Manufacturers’ Quidd NFT Market, VK’s NFT Market, X2Y2, and the Solanart and Hyperspace NFT marketplaces. These closures replicate a broader pattern of decline and restructuring within the NFT market following the speculative bubble of 2022 and 2023.