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News Release — Propy

Feb. 19, 2019

Propy Completes First Automated Real Estate Transaction in Vermont Using Cryptocurrency

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BURLINGTON, Vermont – Global real estate platform Propy, announced the successful completion of the first real estate transaction in Vermont completed entirely, from offer through closing, on the blockchain. This transaction was conducted for a 12-foot strip of land in the City of Burlington, which was historically owned by a public utility, but is no longer used in that capacity. Utilizing Propy’s platform, a local Burlington homeowner worked with a partner at Gravel & Shea, to purchase this land directly behind their home. The closing lawyer, Michelle Farkas, used Propy to send all documents to the buyer.

Michelle Farkas said, “We learned about the strip of land anecdotally, but we pulled out the tax map and there it was. It presented such a great opportunity for a homeowner to extend their property while also testing out Propy’s innovative platform to close the transaction online.”

In order to facilitate the deal, Farkas reached out to the existing owner of the strip of land, an individual who now resides in North Carolina. The owner put the land up for sale on Propy’s online platform. All parties then went through the purchase and sale process, transferring payment using cryptocurrency, performing a title search and due diligence, and completing the transaction with the creation of the deed – all on the platform. The deal closed and was solidified with a deed that was recorded in the City of Burlington Land Records, which includes a hash and QR code recorded on the blockchain.

Natalia Karayaneva, CEO of Propy said, “This deal highlights the transparency blockchain brings to the real estate industry. It also showcases a real use case example of cryptocurrency being used in the mass market. Partnering with Gravel & Shea’s Blockchain Technology Group allowed us to test user interface for closing lawyers – a rare feat done by title companies in California.”

Real estate transactions have historically taken place on siloed systems, resulting in a time-intensive process, widespread with fraud and requiring a costly army of accountants, brokers, and lawyers. Now, with a transaction platform like Propy, property transactions are alleviated of issues such as contract fraud, exorbitant fees, and the time consuming multi-step process to bring transactions to completion. In addition to remedying these common pain points for both buyers and sellers, the technology also provides key benefits to brokers by offering speed, simplicity, and clarity through a single platform to avoid mountains of paperwork, fostering a better client relationship though transparency into fees, and allowing for property exposure to a global audience. The platform accepts over 30 traditional currencies and helps agents as well.

This news comes on the heels of Propy’s recent announcement of its second end-to-end property deal in Silicon Valley, marking 12 successful blockchain-enabled transactions completed to date. Virtual brokerages are most immediate customers for the transaction platform.

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For more information, please visit https://propy.com.