What to do if you can place Bitcoin (BTC) Or Ether (Ethereth) Is it a mortgage to buy a house?
In essence, this is the idea behind the real estate company Presey’s upcoming sales, that is, the apartment located in the Honolulu Mountain in Hawaii, which starts at $ 250,000. If they choose, then potential buyers will be able to obtain a loan from suggestions to get the property-as long as they provide Bitcoin or Ethereum 100 % mortgage and promise the property.
Prepy’s CEO Natalia Karayaneva told Coindesk in an interview: “This is a good proposition of Bitcoin holder.” “This is not a taxable incident. They get loans and buy real estate instead of exiting Bitcoin and pay taxes. Then buy real estate: “
This is a two -year loan, with 10 % interest each year. If the value of the given cryptocurrency drops more than 50 %, the buyer will face a margin phone; in the worst case, the holding of cryptocurrencies may eventually be liquidated and real estate is resold in the auction. However, if the price of cryptocurrencies has doubled, the buyer can eventually refund the loan through income. Interest payment and loans can be repaid with Bitcoin, Ether or USDC.
Another important aspect of the transaction is that the property has been symbolized. Prepy was launched in 2017, which aims to place real estate transactions on the chain, thereby speeding up settlements and liquidity. If the Hawaiian real estate sales on January 29 (sold in Hawaii real estate) are handled immediately, and after completing the repayment, the buyer will automatically recover its cryptocurrency.
“This is not just a milestone; this is a glimpse of the future of real estate.” “We are showing how blockchain technology simplifies house purchases, and in an instant, efficient solutions replace the traditional long loan approval process.”
Buy real estate on the chain
Based on the second layer of the Ethereum solution, at least at least so far, Propy has not been marked regularly. Generally, the company only uses smart contracts to purchase real estate faster and reduce lawyers’ fees. “The main business comes from ordinary consumers. They don’t even know that we use smart contracts on the back end, but they like the speed and transparency of the whole process,” said Karayaneva.
When it makes the property symbolizes, the company establishes LLC for the property in the county registered album, and then creates a token. This process takes about two weeks. After the acquisition, the limited liability company was modified to reflect the changes in ownership and transfer the tokens of the property to their new owners.
According to Karayaneva, as of now, the local people of Pure Crypto account for only about 5 % of the number of companies. For example, one of them involves Michael Arrington, founder of TechCrunch Turn over his apartment Enter NFT. It is recommended to auction in the 17th century Italian mansion On the blockchain in 2017. “We haven’t made a lot of transactions, because we need loan products to expand the scale,” she said. “People need mortgage or loans to get real estate exposure.”
PROPY also cooperates with Coinbase to provide custody services, with the purpose of supporting cryptocurrencies to purchase real estate on cryptocurrencies. For example, the hosting service can help Bitcoin holders avoid wrapping their holdings in ERC-20 tokens like WBTC.
Once the property is attributed to the mark, no buyer will eventually prevent the buyer from selling them to another encrypted local person without the need for suggestions. If the token is sent to the new wallet, it will automatically provide the buyer to provide a link to provide information on the knowledge customer (KYC); their name will then appear in LLC as the owner of the property. Buyers can also solve the property from LLC and have a traditional way of owning it-Karayaneva call it “UN-Chaining”.
Karayaneva said: “Our main goal is actually as much as possible real estate assets.” “Imagine the chain exchange between the chain assets in real estate and Bitcoin assets or other encrypted assets … This is a 300 300 Imagine whether it becomes liquid. “
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