Milo, a U.S. cryptocurrency lending firm, has now originated over $100 million in home loans, highlighted by its largest deal to date: a $12 million crypto mortgage.
The company, licensed in ten U.S. states, boasts a perfect track record with zero margin calls on its mortgage portfolio, even during periods of significant cryptocurrency volatility.
Milo enables crypto holders to leverage their Bitcoin or Ether as collateral for loans up to $25 million. This allows borrowers to acquire property without selling their digital assets, bypassing the need for cash down payments and avoiding immediate taxable events.
Many individuals with substantial crypto holdings, often accumulated over a decade, find their digital assets represent a significant portion of their net worth. These individuals may have stable incomes but insufficient traditional assets to qualify for home loans based on their income alone.
Milo's product requires 100% of the property's value in crypto collateral, held by custodians like Coinbase or BitGo, or via a self-custodial option. Loan interest rates start at 8.25%, and funds can be used for land acquisition, home improvements, and business investments.
Designed to be more resilient than standard crypto loans, Milo's mortgages can accommodate up to a 65% drawdown in collateral value before requiring adjustments, offering a buffer against market fluctuations.
The firm has facilitated transactions in key markets including Miami, Florida, Texas, California, Colorado, Connecticut, and Arizona. The record $12 million deal was closed in Tennessee.
Bitcoin pioneer Adam Back has lauded Milo's offering, stating it unlocks real-world utility for Bitcoin holders by allowing them to build real estate equity without liquidating their long-term investments.