People can use their crypto holdings to buy houses as collateral in the United States.
Around 13 years ago, when Bitcoin took birth in this world then no one expected that the world will see a future where people will use their Bitcoin holdings to sustain their better future, and also no one expected that Bitcoin will grab a position in the world to use it as a most trusted collateral asset.
Milo, a Fintech firm situated in Miami, started offering for its customers to buy house by using Bitcoin and other crypto-assets holdings as collateral.
Milo Digital bank will allow crypto investors to leverage their Digital assets for Milo’s 30-year mortgage loan. So 30-year long time is a big time frame for the Bitcoin/crypto holders.
The most interesting thing with this, its services are available for all International and American users but real estate purchases will be allowed to the US location only.
“Instead of selling your crypto for a down payment to qualify for a mortgage, a crypto mortgage lets you leverage your crypto to invest in real estate.”
Milo also confirmed that the firm has already facilitated this service to many of its clients and also it is working to provide to more of its clients in the incoming months, which are on the waitlist. However, this idea of Bitcoin use as collateral is interesting but Milo didn’t explain how it will use Bitcoin as collateral because bitcoin or any type of crypto assets are very volatile.
The founder and CEO of Milo, Josip Rupena, commenting on this initiative of Milo to offer loan on Bitcoin as collateral, said that idea to introduce Bitcoin as collateral came because of the past many stories of people, who sold their Bitcoin holdings to purchase home.
Further, he added:
“The existing ways for crypto consumers to access home credit has left them with unintended tax liabilities of selling for a down payment or worse the opportunity cost of seeing their crypto increase in value.”
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