Crypto lending platform Moon Mortgage has raised a $3.5 million seed round which will be used to finance Moon’s mortgage-lending product, CryptoMortgage.
CryptoMortgage allows investors to use digital assets as collateral to receive 100 percent financing for investment properties. Investors also can use Moon Mortgage to take out a loan against the value of their digital assets.
“Many investors have been able to make impressive gains by investing in crypto — but you still can’t use it to buy a house,” said Aaron Nevin, the co-founder and CEO of Moon Mortgage, in a press release. “The convergence of TradFi and crypto is still a long way off, so we want to bridge that gap now and allow investors to not just be able to use their crypto to invest in real-world assets, but to also be able to continue benefiting from their crypto investments in the long term.”
Nevin said the $3.5 million investment was an impressive feat for the company given that there seems no end in sight to the ongoing bear market. The seed round, led by CoinFund and Cadenza Ventures, will enable it to launch its proprietary CryptoMortgage product by the end of the year.
CryptoMortgage will be launching for home buyers in Texas, Florida and Colorado, and will eventually be open to investors in most states across the U.S. for investment properties, according to the company.
All digital assets deposited with Moon Mortgage will be stored with Anchorage Digital, a federally chartered crypto bank in the U.S.