RWA Protocol is announcing the launch of $HOME, the first mortgage-backed stablecoin on the XRP Ledger (XRPL). Built on the RWA protocol, $HOME enables individuals and institutions worldwide to access the stability and cash flows provided by U.S. mortgages. This innovative integration of blockchain technology and the mortgage market opens up new possibilities for homeowners and investors alike. In this blog post, we will delve into the significance of $HOME and its potential to revolutionize the world of mortgages.
With a mortgage market totaling a staggering $13 trillion, mortgages have long been the domain of banks, governments, and large institutions. These entities leverage mortgages due to their collateralized nature, providing reassurance that loans are backed by homeowners’ promises to repay or the ability to sell the house to cover the loan. Moreover, the fixed monthly payments made by borrowers offer a steady stream of reliable income for holders of $HOME.
$HOME introduces flexibility, accessibility, and accelerated processes for homeowners seeking mortgage financing. To date, the RWA protocol has facilitated the funding of over 46 home loans, showcasing its effectiveness and potential. The native utility token, $HOME, allows the crypto community to benefit from the stability and growth potential of mortgages.
Key benefits of $HOME include:
Transparency on the loans backing the coin: At any time, all overcollateralized loans backing the coin may be viewed on the blockchain. The information includes the home's location, value and lien amount, among other things. Other stablecoins rely on auditors.
Current return is 2-5%: The loans backing $HOME generate a 2-5% return from borrowers repaying the loans without incentives. Other stablecoins rely on incentives to reward the people who stake their stablecoin, but the core assets that back these stablecoins generate minimal or no return.
Every loan is backed by a home that is worth more than the amount of the loan: Every loan is overcollateralized. The average loan in the pool backing $HOME is overcollateralized by 30% or more making the value of the home higher than the lien and loan against the home. Other stablecoins may hold more assets than needed to maintain a 1:1 ratio between assets and the coin value, but there is no guarantee the individual assets are overcollateralized.
The assets and the creation of the loans are decentralized: The assets backing $HOME are distributed around the United States. The platform is open to any loan officer to originate loans, as well as financial institutions. The collection of payments can be done through anyone licensed to be a servicer or directly through the blockchain.
The RWA protocol is working to give consumers and homeowners a simplified, faster and much improved experience. It gives consumers access to the same financial products banks, governments and institutions use to preserve and grow wealth. We help homeowners by giving them faster, more flexible and uniquely beneficial loans. By leveraging the ultra-fast, low-cost and carbon-neutral, XRP Ledger, it plans to help people both consumers who need home loans and those XRP holders who want to use the benefits of stability and reliable payments from Real World Asset backed loans.
You can create trustlines and start exchanging into HOME today.
There are 3 tokens on XRPL and the sologenic exchange, corresponding to the 3 levels of lockup and the corresponding return
HOM, no lockup,no return and stable
HMQ, 90 day lockup, 2% return and stable
HMY, 365 day lockup, max return (currently 5.77%) and stable
The token is HOM on the XRPL. Use this link to setup a new trustline. Then exchange into HOM using your favorite wallet.
To explore the capabilities of $HOME and delve deeper into its features, you can visit the official website at https://www.homecoin.finance/about.
$HOME is a next-generation stablecoin backed by the mortgages commonly utilized by the U.S. Federal Government, banks, insurance companies, and wealthy individuals to safeguard and increase their wealth. With $HOME, anyone worldwide with a DeFi wallet can access the safety and returns associated with these mortgages. By boosting (locking up), $HOME users can earn returns and RWA governance tokens.