bHOME, a digital asset backed by a pool of USDC, mortgages, and liens, brings institutional level housing market investing opportunities to the cryptocurrency industry
Bacon Protocol, a decentralized platform that allows private investors to participate in the growing housing market, announced its official launch. In conjunction with the protocol launch, it will also conduct a token sale event of its native token, bHOME, a first of its kind Stable+ Coin, backed dollar for dollar by USDC, liens, and loans on homes in the US.
There are over $2 trillion worth of mortgages purchased by banks, companies, and governments each year with the US government holding $2.38 trillion worth of mortgages. Based on the average 2021 mortgage loans and liens rates, these investments can earn up to 3% annual interest. Wells Fargo, which holds almost $275 billion in mortgages, will collect over $8 billion every year from those mortgages and liens. Bacon Protocol was designed to bring these opportunities to anyone holding a cryptocurrency wallet.
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The Bacon Protocol is a decentralized mortgage lending platform that works in favor of both homeowners and investors. It allows homeowners to exchange a lien on their home for an NFT representing a part of the value of the property they have purchased. Those buyers can then use the NFT as collateral broadly across the DeFi ecosystem. These Smart Loans, which will be initially available on LoanSnap and will deliver the lowest mortgage rates possible but are of any duration and automatically refinance to a lower rate when available.
“The U.S. housing market has been consistent over many centuries and has grown at a steady, stable rate,” said Karl Jacob, CEO, and co-founder of Bacon Protocol. “Bacon Protocol is designed to bring broad accessibility to a once untouchable market and allows individuals to invest pools of liens, backed by real homes, bringing institutional-level investments in the housing market to anyone who can buy cryptocurrency. We are focused on improving people’s financial lives and this is a great step for homeowners and anyone in the world To fulfill this vision we are announcing our first product on the Bacon Protocol called bHOME coin, the first-ever Stable+ Coin.”
The sale of bHOME will take place on September 28th at 9:00 AM EST. Its token event will be open to the public and will offer an accelerated rewards program of BACON, its governance token, to those who commit to the first $100M of the sale.
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“The Bacon Protocol is the only decentralized option for mass participation in the mortgage ecosystem,” said Alex Pall of The Chainsmokers and founder of MANTIS VC. “We have always been intrigued by the idea of levelling the playing field and bringing more access to areas that were underserved and this idea does just that. It allows ordinary people to participate in the same type of investments that banks and other financial institutions access on a daily basis. We believe that this solution will be the catalyst for bringing billions of dollars from the mortgage industry onto the blockchain and look forward to participating in the bHOME coin sale.”
Formal audits for Bacon Protocol have been completed by Token Guard. The protocol works in tandem with LoanSnap, the company behind the world’s first Smart Loan technology, that uses artificial intelligence to automate the loan process. In the future, it will also onboard additional lenders who will contribute to the pool.
LoanSnap recently completed a $30 million Series B investment round led by True Ventures True Select Fund IV with participating investors, including Baseline Ventures, Richard Branson’s Virgin Group, AVANTA Ventures, ThomVest Ventures, Joe Montana’s Liquid 2, WorkPlay Ventures, and MANTIS, the investment group founded by the Grammy Award-winning pop duo, The Chainsmokers, as well as LinkedIn co-founder and serial entrepreneur Reid Hoffman.
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