Users can create, buy or sell NFTs using dedicated marketplaces at prices that are extremely fluctuating and, given the illiquid nature of the market, very difficult to discover. Thus, NFTs holders willing to make profits from their assets can either sell their NFTs at risk or wait, without generating any yield, until a given desired price is met. Moreover, metaversers and blockchain-based games often require new users to own a set of relatively expensive NFTs as a precondition to join the platform limiting their audience.
With this project we introduce Rentable, the renting protocol for NFTs.
We, as users, want to solve these problems and we think that renting is one efficient solution that will become a new primitive in the NFTs economy.
What it does
Rentable is the first protocol that enables users to open rentals with no collaterals: users simply pay a small renting fee each block that can be claim by the NFT owner.
- No Entry Barrier for Renters
- New Opportunities and Low Risks for Owners
- Natural Price Discovery and Market Efficiency
- More liquidity, same scarcity
- A simple way to integrate a renting mechanism into existing platforms
- A new way for creators to expand their audience and earn royalties
Use cases for renters:
- Get items for your favorite game
- Rent lands in the metaverse
- Be a CryptoPunk for a day (status renting)
Use cases for NFT owners:
- Earn a yield on a multi-millionaire asset
- Keep the ownership
- Borrow assets with rental agreements
Use cases for creators:
- Add renting with low effort
- Expand your audience
- Earn royalties from rentals
Dive deep our 2-pager narrative.
How we built it
We built the protocol as a set of smart contracts written in Solidity and used Brownie as testing framework. We used The Graph to perform queries on the events generated by our smart contracts. We built a simple dApp in React that provides access to the protocol by the Rentable marketplace, and enables users to list, rent and claim rental interests. We also used the OpenSea API to retrieve NFTs metadata (e.g., jpegs, names)
Challenges we ran into
We are not designers and neither frontend experts, thus we faced some issues in crafting the user interface of the dApp. Moreover, the OpenSea API can require indexing, thus the UI can show, for a limited amount of time, some stale data.
Accomplishments that we're proud of
We manage to build a protocol from scratch, with test cases that cover all the core functionalities, and a simple UI/UX to interact with.
What we learned
The Pareto principle held for our project too. We spent 20% on the concept design and 80% on the execution.
What's next for Rentable
- Create a product around this proof-of-concept
- Enable users to place bids for rentals and not only owners set the price
- Completing the feature set (i.e., off-chain bidding and on-chain matching)
- Improve the UI/UX
- Consolidate the architecture
- Integrate with platforms and protocols
- Scale the team and build a company