Capital inefficiency and price discovery are the two main hurdles that create illiquidity for NFT assets. Users can only recently deposit their previously illiquid assets into the DeFi ecosystem to generate income and provide liquidity. Today, we will look into the state of NFT lending, which is a crucial part of the financialization of NFT, and the solution to the illiquidity problems of NFTs. We will start by illustrating two major types of lending models and then elaborate on our prediction within this space of the crossover between NFT and DeFi.