Ah... so you're specifically mentioning about the news article in question?
If you repay the loan, [your NFT token] comes back home. If not, [the token] gets a new owner. Simple as that!
I guess this explains everything... Probably just ppl hustling each other lol. And I assume given what types of shady characters are into NFTs, there are probably a lot of them who want to hustle another person out of some cash