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QuantmRE with Matthew Sullivan
Matthew Sullivan is the CEO and Founder of QuantmRE, a cryptocurrency startup that supports homeowners by helping them sell a fraction of the equity in their home without taking on more debt. A seasoned entrepreneur, Matthew has a proven track record in real estate innovation through his experiences as Co-Founder of the $50M Secured Real Estate Income Strategies Fund, and as Founder and President of Crowdventure.com, a real estate crowdfunding company.
[4:48] As mentioned above you’ve founded a startup that specializes in Real Estate & Crypto.
First off can you talk about what a security token is in crypto?
● Securities are well understood as stocks, bonds etc.
● ICO’s appeared over the last few years and companies started making money off these as tokens. Companies were able to use these tokens as a means to create funding of working capital.
● Companies started using ICOs to avoid disclosures and protections offered by typical securities.
● Tokens allow a huge amount of liquidity
● Leverages benefits of blockchain and is governed by the SEC/other regulatory bodies
[8:26] In traditional housing, you’ll apply for a home loan from the bank and based on your credit profile and down payment the bank will lend you money. How is crypto disrupting this space?
● QuantmRE allows people to unlock the value of their homes without taking on more debt
● If you have equity in a home, you can get paid cash for the equity
● Ultimately it comes down to trust
● Fund structured as REIT
[17:9] What makes the transaction enforceable? What’s to stop me from “selling” a part of my home and then disappearing? Visa versa, for the investor how do I know what I’m investing in is real?
● Traditional mechanisms are used to enforce, Matthew’s team has been involved in Real Estate for many years
[19:5] Do you think we’re going to see a shift from traditional funding sources to crypto with respect to real estate? Who actually owns the title of the property?
● Separate crypto from blockchain, blockchain creates a layer of truth
● The home owner remains on title