NFT-backed property is sold in Florida for 210 ETH($653K)

Feb 12, 2022

Image Source: Luno discover

The first NFT-backed property of the real estate startup Propy has sold a 2,164-square-foot house in Gulfport, Florida, fetched $653,000 (210 ETH), with the winning bidder got a NFT as proof of ownership.

Image Source: (Breno Assis/Unsplash)

NFT logistic complications–  The token is associated to the ownership of an LLC that owns the physical asset, rather than the actual house contract. 

Photo Credit: Passakorn Prothien

NFT logistic complications–  However, it reflects innovative solutions in a sector that contributes to $16 billion, or roughly 1%, of the crypto market’s $2 trillion market capitalisation.

Photo Source: Binance

According to Propy, NFT can be used as collateral for crypto borrowers and investors.  A sale happens when the market for NFT lending services begins to find its stride.

Photo source: Propy

“We’ve gotten hundreds and hundreds of requests from sellers to sell their homes all over the U.S. The next big sale will be in Tampa again, it’s a condo that is worth between $200,000 to $300,000.”

Propy CEO Natalia Karayaneva.

Photo source: Medium

When the company sells-off TechCrunch CEO Michael Arrington’s Ukraine apartment, Propy’s first-ever NFT-backed property was highlighted in May.

Photo source: Techstartups

While the Florida sale was all the rage, the auction resulted in a bidding war. Over 7,000 people signed up to bid on the home, which only accepted bids in ETH.

Image source: aiRight

Karayaneva stated that Propy has 3 upcoming partnerships with lending protocols, one being with Helio.

Photo source: Propy

According to Karayaneva, Thursday sale only accepted bids in ETH. Propy also plans on offering decentralized finance (DeFi) mortgages to its users in the coming months.