Milo plans to offer what the Miami-based financial technology startup says is the world’s first crypto mortgage offering a 30-year term. “We feel that our crypto mortgage has the opportunity to change lives for many, many people,” said founder and CEO Josip Rupena, who made the announcement on Monday at the North American Bitcoin Conference at the James L. Knight Center in downtown Miami.
In the first half of this year, Milo’s clients will be able to pledge their Bitcoin to purchase US property and qualify for a low interest rate 30-year crypto mortgage, because “most banks really don’t know what to do your crypto,” he told the audience. This solution will allow clients to continue to own their bitcoin and diversify into real estate, all while keeping the potential price appreciation of both, Rupena said. Clients can join a waitlist on Milo’s website.
The best news, Rupena told the audience of crypto fans, is that clients will be able to finance 100% of their purchase — no down payment — and the process will be faster than a conventional mortgage. “We can do that in under 30 days and we have been doing that,” he said. Clients can also make adjustments to the rates over time, something more difficult to do with 30-year-mortgages, he said.
“The world is changing rapidly, with how consumers make and invest their $2 trillion in crypto wealth,” said Rupena. “Clients expect us to come up with innovative solutions to extend credit to millions of great consumers.”
Founded in 2018, Milo is reimagining the way global and crypto consumers access financial solutions, enabling millions of dollars in US home loans. Rupena identified a market need while working with both institutions and international clients as a financial advisor at Morgan Stanley. He found that even high-net worth international clients could have difficulty securing a US home loan because of traditional banks’ domestically focused processes, and learned they weren’t alone. Milo raised $6 million last year in a round that included QED Investors, Metaprop, and 10X Capital.
Rupena said the traditional 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. “There are countless stories of people buying property with bitcoin proceeds only to see it increase in value and be worth millions more,” Rupena said. Milo started developing their Crypto mortgage product last year.
The company’s other mortgage solution for foreign nationals has originated millions of dollars in loans already and has seen applicants from over 63 countries, Rupena said. “We’ve expanded credit so they can actually buy real estate in the US … and we see the same opportunity today for the crypto community.” Milo is a direct lender that is already licensed, audited, and insured.
“Milo’s decision to expand their financial flexibility with crypto mortgages is a groundbreaking achievement for advancing the United States’ dominance in crypto. To become the Capital of Capital, Miami needs companies like Milo who are willing to innovate and ideate.” said Miami Mayor Francis Suarez, who introduced Rupena at the conference.
Follow @ndahlberg on Twitter and email her at email@example.com