Propy Inc. and Helio Lending partner to offer first ever crypto loan utilizing NFT real estate asset as collateral
Propy Inc. a leading real estate innovator in the automation of transactions using blockchain technology that just made history selling the world’s first Real Estate NFT with ownership transfer and Helio Lending (a wholly owned subsidiary of CYIOS Corp: CYIO) a CeFi aggregator focused on crypto-lending/deposits, today announced the Companies are partnering to enable real estate NFT’s to be used as collateral for loans, similar to a cryptocurrency backed loan. This new type of financing allows NFT property owners to leverage their assets as they would if it were physical property with a traditional bank or financial institution.
Natalia Karayaneva, CEO of Propy, commented: “We are super proud to have completed a historic milestone with the very first NFT Real Estate transaction successfully being transacted this week resulting in change of ownership of an apartment in Kiev, Ukraine, formerly owned by TechCrunch Founder Michael Arriginton (@arrington). This property previously made history as the first-ever blockchain-based real estate sale. Now, we are excited to partner with Helio Lending to make history again, as we look to facilitate the first ever NFT real estate loan collateralized by the NFT. By combining Helio and Propy resources and expertise, it allows us to leverage the promise of blockchain technology and non-fungible tokens (NFT) to achieve self-driving real estate transactions and open new lending opportunities. Real estate as an asset class will become a part of the decentralized finance economy. The world real estate market is worth $217 trillion and makes up more than half the value of all mainstream assets worldwide. We are only just at the very beginning of what we believe to one of the biggest disruptions in recent history for the real estate market and we believe we are well positioned to participate and take a leadership role in the space.”
Michael Arrington, CEO Arrington XRP Capital, and Propy investor added: “This partnership between Helio and Propy represents an important first transaction, proof of concept whereby you have the NFT Real Estate being used as collateral for a loan, which has not been done before. Coming at this from a crypto angle, we have seen what happens how DeFi gets plugged into credit markets. If I have an NFT or any DeFi asset I can then borrow against it, without a middleman. Right now, if I have a real piece of real estate, there is no way for me to borrow against it, without a middleman, because I must go through a bank and get a mortgage or whatever. And it is also the friction, all of the costs in terms of speed and how long it takes. If we can find a way to plug real estate and other real-world assets into DeFi, I think that the amount of credit that can be created around that is in the trillions, eventually.”
John O’Shea, Founder of Helio Lending and Chairman, CYIOS Corp commented: “The partnership between Propy and Helio looks to change the way you can fund real estate purchased and gain maximum diversification of your crypto assets and real estate assets. Having a solution to put your real estate holdings on to a NFT and being able to get a loan against that asset is truly unique and can change the landscape of real estate. The process works like this: the seller signs proprietary-developed legal papers for NFTs to transfer ownership to a future buyer, carries out an NFT auction, and receives payment in cryptocurrency. This transaction is enabled through the Propy platform. Then, the owner or buyer can use their NFT as collateral, to receive anywhere between 20% – 70% of the value in cash. The benefits of this loan include no margin calls, competitive interest rates, no rehypothication, no credit checks, nonrecourse, no mortgage costs and/or timely delays due to lengthy approval and closing process. If the NFT is unencumbered property via an LLC, which can be borrowed against as a business loan through Helio Lending, you may be able to receive up to 70% of the NFT value to receive in USD. We look forward to working with Propy, and together pioneering new business opportunities evolving from the world of DeFi.”
About Helio Lending
Founded in 2018, Helio Lending has developed a CeFi cryptocurrency lending platform, with headquarters in Australia. Recognized as the first to market in Australia, Helio Lending was the first independent crypto lending company to actively lend within Australia. Helio has since evolved and positioned itself as the first CeFi (centralized finance) aggregator worldwide. Helio has a large panel of partners providing access to the best rates and offers for crypto loan providers as well as offering a competitive yield generating platform. Helio Lending provides holders of cryptocurrency (such as Bitcoin, Bitcoin Cash, Ethereum, Litecoin and Ripple) with a safe and secure way to access fiat funds at the best rates, without selling any of their cryptocurrency. Helio also allows holders to earn rates on their cryptocurrency. For more information please visit www.cyioscorporation.com