After becoming aware of the positives and critical disadvantages of VDA mortgage avenues, let’s learn about the trustworthy names offering them.
• USDC.Homes
The platform only offers blockchain mortgage services for real estate purchases within the Texas region. Still, the offerings are pretty attractive and multitudinous. The lender accepts all top cryptos like BTC, ETH, USDC, etc., as collateral for offering up to $5 million in funds.
While the interest rates stand between 5.5% to 7.5% APR, the platform offers to stake the down payments. Such benefits can let the borrowers earn interest on their collateral by partially offsetting their term mortgage payments.
• Milo
It is a licensed firm offering virtual asset mortgage facilities for loans for up to 30 years. Based in Florida, Milo is the first in the US market to provide such prospects at 3.95% to 5.95% APR. A great reason to consider this firm your prime choice is that it does not demand a down payment!
The borrower can finance 100% of the property value while the firm steadily accepts the top cryptos, named ETH, BTC, and a few stablecoins.
• NFTfi
The platform allows the listing of NFTs as collateral on which users can apply for loan offers. The borrowers will obtain wETH or DAI liquidity into their wallets straight from the lenders. The listed NFT will be converted into a double-audited escrow contract. Furthermore, with no auto-liquidations, a defaulted crypto NFT loan will let the lender foreclose the loan and receive your NFT.
NFTfi does not charge a fee for its services to either the lender or borrower. However, the lender must pay 5% of the total interest earned on their successful loan(s). Still, it’s worth noting that the platform currently only supports Ethereum-based NFTs.
• Figure
The North Carolina-based lender runs a waitlist to offer up to $3 million along with a 30-year term period option. The annual rate is capped at 6% as the fixed rate, with its services available in the eight US states. Offered VDA mortgage services by Figure are licensed, and as of now, it only accepts payments in ETH and BTC tokens.
• Ledn
It is a platform based in Canada that presently only offers VDA mortgage loans that are bitcoin-backed. Before the crypto winter, the platform had already raised $70 million in its Series B funding round, totaling a $540 million valuation.
The platform aims to expand its services from Canada to the US region, with clients from 127 countries, 44% of which represent the Latin American region.
Note: None of these mentioned institutions, organizations, firms, or networks is associated or affiliated with NFTsCryptoGuide. We do not endorse any crypto house loan nor promote registering a VDA mortgage deal.
FAQs
1. What is a crypto mortgage provider?
A crypto mortgage provider is a financial platform or licensed lender that offers home loans or real estate financing by accepting cryptocurrencies or NFTs as collateral instead of traditional assets.
2. Which companies currently offer crypto-backed mortgage loans?
Some notable crypto mortgage providers include USDC. Homes, Milo, NFTfi, Figure, and Ledn. Each platform has different eligibility criteria, supported crypto assets, and regional availability.
3. Do crypto mortgage lenders operate worldwide?
Most crypto mortgage lenders operate regionally. For example, USDC.Homes is limited to Texas, Milo operates in the US, Figure serves only selected US states, and Ledn is primarily based in Canada but caters to global clients.
4. Which cryptocurrencies are accepted for crypto mortgages?
Leading platforms usually accept major cryptocurrencies such as Bitcoin (BTC), Ethereum (ETH), and stablecoins like USDC. NFT-based lending platforms typically support Ethereum-based NFTs only.
