Figure Technologies, a blockchain mortgage startup, has announced the introduction of new products that will allow consumers to deposit Bitcoin or Ether as collateral for mortgage loans.
Mike Cagney, the co-founder of the personal-finance business SoFi, founded Figure Technologies in 2018. Using blockchain technology, artificial intelligence, and sophisticated analytics, the Blockchain business provides financial services such as home equity lines of credit, home repair loans, and house buy-leaseback programs.
According to co-founder Mike Cagney, the two products, Crypto Mortgage and Crypto Mortgage PLUS would allow consumers to take out 30-year mortgages worth up to $20 million in return for Bitcoin or Ether.
According to Cagney,
“You can make payments with your crypto collateral. And we don’t rehypothecate your crypto,”
Furthermore, they have launched a waiting list for the items, which will be accessible in April of this year.
Figure will also provide 100% loan-to-value (LTV) products, which means that if you put up $5 million in bitcoin or ether, you’ll get a $5 million mortgage. Meanwhile, according to the website, loans would have interest rates ranging from 3% to 5.99 percent, with payments paid in cryptocurrency or cash.