Mortgage Bankers Association recently interviewed Michael Jansta, the CMO of Altisource where he elaborates on implementing ForumPay to process crypto-to-cash payments for the real estate and mortgage industries.
- For the full interview click here.
In one section of the interview, Jansta mentions utilizing ForumPay to let buyers convert their cryptocurrency into dollars:
MBA Newslink: What are the incremental costs involved in selling cryptocurrency to buy real estate?
Michael Jansta, CMO Altisource: First you have to convert cryptocurrency into dollars, which typically involves a fee somewhere between 1 and 2%. So, if I sell $100,000 in Bitcoin in order to put a down payment on a home, I may have to pay a fee of around $1,500. But there is also a time cost associated with getting the proceeds into escrow. To convert crypto into dollars and transfer the funds into your bank account through an ACH transaction typically takes between three to five days. After that’s finished, you still need to initiate a wire transaction to deposit that money into escrow, which not only adds extra time but also invites the risk of fraud.
However, the platform we utilize, ForumPay, lets buyers convert their cryptocurrency into dollars and have it wired directly to the escrow account in one move, so they don’t have to go through their bank. This makes it incredibly easy for buyers to use cryptocurrency when buying a home—and it saves time and money.