The NFT lending works as follows: User A puts an NFT asset up for collateral and seeks a loan/liquidity. User B offers User A lending terms. Once accepted, the transaction is done through the platform, funds are released to User A and his NFT is locked. If a user does not pay back the agreed upon loan in time, the lender keeps the asset; in this case an NFT. The whole process is secured and safeguarded in a smart contract