Terrazero Technologies Provides Metaverse Mortgages

With virtual real estate getting extremely pricey, one firm called Terrazero Technologies is offering metaverse mortgages.

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At the moment virtual real estate has become a hot commodity as people continue to leverage their crypto assets to purchase metaverse parcels. Projects like The Sandbox, Axie Infinity, and Decentraland have seen virtual land parcels sell for hundreds of thousands and even millions.

"Crypto's important in the metaverse because it is the mechanism by which we conduct business," Terrazero's CEO and founder Dan Reitzik says.

Virtual land adjacent to Snoop Dogg's metaverse mansion in The Sandbox sold for $450K in ethereum (ETH) during the first week of December. Now a project called Terrazero Technologies is working on offering home loans to people looking to acquire virtual real estate. 

"We do KYC, or Know Your Customer," Reitzik detailed. "Then they show us a business plan so that we know that they're going to be able to pay us back over time. If it sounds viable then we buy the land on their behalf." The Terrazero founder added:

The deed is essentially an NFT. We hold that in the company's cold storage until the loan is paid off. But we give developer rights to the land so that the person can build whatever they want. If the customer doesn't pay, then obviously we have that as our collateral.

Source: Bitcoin.com