Polygon-based lending platform offers cryptocurrency liquidity for high-end merchandise

A revolutionary lending platform called Polygon is set to tackle the liquidity challenges faced by owners of luxury collectibles when they want to convert their assets into cash. Davide Rovelli, an advisor to asset-backed lending platform Altr, explained that collectors often encounter difficulties in selling their items, such as receiving lower offers from dealers who need to make a profit when reselling. Alternatively, going through an auction requires extensive preparation and the payment of third-party fees. Rovelli believes that blockchain technology can provide a solution to these problems. By digitizing their collectibles and creating a digital certificate of ownership on the blockchain, collectors can use these digitized assets as collateral to quickly obtain loans on-chain. Rovelli emphasized that tokenization of real-world assets adds an extra layer of transparency to a sector that has historically lacked it. It enables users to bring their assets on-chain once they have been certified, valued, and securely stored, providing enhanced security and near-instant liquidity. Rovelli sees this approach as unlocking the economic value of luxury items and represents a shift in leveraging luxury assets in the digital age. He also highlighted the compatibility between Web3 and the luxury industry, as Web3 offers ways to verify the authenticity of high-end products and track their history. Ultimately, a Web3-based system could make it nearly impossible to counterfeit luxury goods.