Unlocks value and disrupts the institutionalized model by directly connecting homeowners and real estate investors, thereby eliminating debt for stock appreciation.
TORONTO, April 8, 2021 / PRNewswire / – Vesta Equity, the global home equity market, announced today that it will use Algorand’s blockchain as the backbone of its advanced residential real estate financing and investment solution.
Vesta gives homeowners the tools to control their home equity outside of traditional home equity financing options. Using blockchain technology, Vesta connects real estate investors directly with homeowners through the tools and marketplaces to conduct seamless transactions. This enables homeowners to stay debt free and still retain their full housing rights. Unlike traditional home equity loans, reverse mortgages or forward mortgages can access homeowners by marking the underlying value and selling a percentage to accredited investors – all without the impact of compound interest or the significant inconvenience of a full sale. Real estate investors, in turn, can directly (1: 1) access homeowners in a peer-to-peer market in order to build a portfolio for residential real estate across property types, locations, increases in value and more.
With core functions generated and developed exclusively on the Algorand blockchain, Vesta brings a powerful mechanism to market to disrupt the numerous parties in the traditional home equity / lending / space space. Vesta eliminates intermediaries who have hindered the process and increased costs for both parties. Algorand’s open, public blockchain enables all of the data that is part of the process to be readily available and reviewable – the automated process requires virtually no paperwork.
“We have become a society of indebtedness, but this path has to shift to create a more prosperous future for all. We at Vesta believe that applying the right technologies is the answer. Our partnership with Algorand reflects this because of their superiority Performance reflected, flexible architecture, low transaction fees and scalability of transaction performance, “said Michael Carpentier, CEO and co-founder of Vesta Equity.
“Vesta Equity and Algorand share a common vision of how blockchain enables the creation and exchange of value in a more efficient, transparent and secure way. By expanding the opportunities for homeowners and investors, Vesta Equity is leading the way in creating new, more accessible market opportunities by bringing participants together through Algorand’s technology, “said W. Sean Ford, COO of Algorand. “We are excited to help Vesta Equity use the core principles of blockchain to redefine the real estate stock market.”
Vesta aims to be through to the market September 2021initially in California for homes that are fully owned and then expand into the US and the US North America. Vesta will use USDC stablecoin on Algorand for settlement.
About Vesta Equity Inc.
Vesta Equity is building the future of home finance. Homeowners and real estate investors, traditionally bound by centuries-old institutionalized financial practices, are free to manage their assets and investments to provide them with the best possible service. Tokenization and Vesta Equity’s real estate market allow homeowners and investors to deal directly with each other without using intermediaries that bring onerous costs, one-sided conditions and risks. Vesta Equity’s proprietary approach of combining tokenization with smart contracts enables homeowners to sell part of their home to investors while keeping their residence. For the homeowner, this means no more debt, compound interest, and monthly payments. Investors now have the freedom and easy access to build and manage a portfolio of property types in different regions and participate in property appreciation with 100% asset transparency. Vesta Equity enables an open market built into the immutability of the blockchain to create a more inclusive and dynamic model for the multi-trillion dollar global home market. More information is available at www.vestaequity.net
About Algorand Inc.
Algorand is building the technology for the future of finance (FutureFi), the convergence of traditional and decentralized models into a unified system that is integrative, smooth and secure. Founded by the Turing Award-winning cryptographer Silvio MicaliAlgorand developed a blockchain infrastructure that provides the interoperability and capacity to handle the volume of transactions required for a smooth transition to FutureFi for decentralized finance (DeFi), financial institutions and governments. The technology of choice for more than 500 global companies, Algorand makes it easy to create financial products, next-generation protocols, and share values. More information is available at www.algorand.com