We are Making Investing Easier, Less Expensive and More Accessible
OpenLTV is building a more transparent and accessible passive income platform, powered by the blockchain, collateralized by US real estate. The future is here, now.
Bank interest yield is notoriously low, and in some countries, banks have a tendency to go out of business and take their client’s funds with them. Because of this, and because federal reserve banks across the world have been printing lots of money in the past few years, investors look to alternative asset classes with a higher yield. Investing in debt backed exotic asset classes such as legal, small business, marine and art became possible and available to some. However, many of these collateral assets are highly illiquid, don’t have a strong valuation model and may turn out to be fake and worthless. Not so with real estate in the US.
Residential and commercial real estate in the United States is a multi-trillion dollar asset class. While it is technically not liquid, there is an established, robust market for it in a lot of metro areas. There is an established way to value property. There are agents, brokers, lawyers, and other service providers that help transact in this asset. And there is a legal, well defined way to take possession of this asset in case of default and sell it on the open market to recoup principal. There is also a robust industry that is in business of “flipping”, or renovating and reselling for a higher price, residential and commercial property.
This is where the opportunity is, and where OpenLTV is adding value.
In 2018, there were well over 200,000 houses “flipped” in the US, and another chunk purchased for a longer term “buy, renovate and hold” strategy. Based on these numbers, the industry has an addressable market of over $50 billion. All of this, the size of the market opportunity, the process, the strong collateral, the yield, and our know-how make short-term real estate debt the ideal asset class for global investors to add to their portfolio.
OpenLTV has built its’ foundational technology on top of the Ethereum blockchain, and utilizes security tokens instead of paper certificates. Security tokens are eating legacy paper securities, and are making investing easier, more transparent, less expensive and more globally accessible. Security tokens are building bridges between traditional finance, blockchain and industries like real estate.
OpenLTV is forging ahead with strong partnerships with pre-vetted loan originators, bringing our investors opportunities that did not exist before, such as:
-High yield investments, ranging from 8-12% per year
-Short terms hold, no need to lock up capital for a long time
-Ability to invest using crypto and fiat
-Interest paid out month
-Ability to trade on secondary markets
and more to come..
3 Principles We Live By At OpenLTV
-We aim to take a first lien position on debt with a sustainable loan to value
-We aim to have real value collateral behind the debt issued on our platform
-We aim to make investing easier, less expensive and more accessible
Your financial future is in your digital wallet!
–The OpenLTV Team