United Wholesale Mortgage plans to start accepting crypto payments
- The firm will initially accept BTC payments first, with plans to embrace ETH and other altcoins.
- Per UWM’s CEO, Mat Ishbia, the crypto payment option might come as early as Q3, 2021.
- The company has not disclosed whether it intends to hold the crypto it gets.
United Wholesale Mortgage (UWM), the second-largest mortgage lender in the US, is gearing up to embrace crypto. A report unveiled this news, citing the company’s quarterly earnings call on Monday. Reportedly, UWM intends to start accepting crypto payments later this year.
According to the report, UWM aims to become the first firm in the US to let homebuyers pay their mortgage in crypto. The company intends to start accepting Bitcoin (BTC) initially before expanding its offering to include Ethereum (ETH/USD) and other altcoins. While UWM is keen on embracing crypto payments, its CEO, Mat Ishbia, said the firm intends to walk before it can run.
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Ishbia added that UWM is evaluating the feasibility and requirements it needs to meet before it can start accepting crypto for mortgage payments. He further noted that the company has been working hard to pioneer crypto mortgage payments and that the service will hopefully launch in the third quarter of this year.
While the company’s decision to accept crypto payments is bullish news, UWM did not disclose whether it intends to hold the crypto it receives or not.
The real estate sector continues embracing crypto
Although UWM is the first company to consider accepting mortgage payments in the US, the idea is not new in the crypto space. Earlier this month, Partido Popular (PP), Spain’s leading opposition party, created a bill that proposes to let people pay mortgages in crypto. Dubbed the Digital Transformation Law, the bill suggests that the real estate industry in the country can use the crypto it receives to invest in mortgage pools. Banks can then use the blockchain to manage mortgages and insurance and simplify the payments of indemnities in crypto assets.
Apart from using crypto to pay for mortgages, real estate companies are increasingly adopting crypto payments to attract affluent crypto HODLers. For instance, Antonio Citterio announced that people can purchase units at Arte, a condominium complex in the Surfside neighborhood of Miami, in crypto. A month later, the residential development sold a penthouse for $22.5 million worth of an undisclosed cryptocurrency.
Before this, Caruso announced that it would start accepting crypto as rent payment at its residential and retail properties. The company also said it had invested some of its corporate wealth in Bitcoin (BTC/USD) through a partnership with Gemini.