Leading real estate developer MegPrime Holding, LLC, said Thursday it will launch a “universal payments” cryptocurrency after receiving approval from the SEC.
Cryptocurrency For Affordable Housing?
The Texas-based homebuilder received a No-Action Letter from the regulator to roll out the cryptocurrency, named MegPrime Token (MP Token).
The token aims to convert routine spending into tangible value and “long-term financial progress.” Users making rent or mortgage payments through MP Token on the MegPrime app could reap up to 20% back in the same token, MegPrime said in a press release.
Furthermore, renters who use MP Token for payments could be eligible to receive 100% of their previous year’s rent, capped at $25,000, towards a future home purchase. Qualified users may also avail of mortgage rates up to 2.0% below the market rate.
The token will be available for purchase during its upcoming Token Generation Event and subsequently on the MegPrime app. It is also anticipated to be listed on other third-party cryptocurrency exchanges.
“The integration of blockchain technology into the residential homebuilding space is an economic leap forward and represents what we believe to be the single greatest use case for blockchain technology of our time,” said Aaron Ipour, co-founder of Megatel Homes and MegPrime.
MegPrime described the token as a “utility-based digital currency,” rather than an investment or bank deposit. The blockchain on which the token will be based has not been disclosed.
High Borrowing Costs: A New Normal For Homebuyers
The development comes as the market remains constrained by high borrowing costs and tight supply.
The 30-year fixed mortgage rates, which were near 2.65% in early 2021, spiked to the mid-6% region last year, impacting household affordability.
Redfin, a real estate brokerage platform, predicted the rates will average 6.3% in 2026, only a slight dip from 2025. The firm projected rents to rise between 2% and 3% nationwide in 2026.
Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.
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