US homebuilder Megatel Homes is set to launch a crypto rewards platform after receiving a Securities and Exchange Commission “no-action” letter.
Megatel announced on Thursday that the platform, dubbed MegPrime, would give users rewards for using “MP Tokens.” These rewards can be earned by using tokens to pay rent, with the tokens then available for “everyday purchases” or conversion to US dollars.
The Securities and Exchange Commission (SEC) allowed MegPrime to proceed with its plans in a letter on Thursday, recommending no enforcement action provided the platform strictly adheres to its outlined plan.
MegPrime stated in a post on X that the company “operated in stealth-mode to meet regulatory requirements.”
MegPrime Offers Incentives for Renters and Homeowners
Aaron Ipour, co-founder of Megatel Homes and MegPrime, commented that “as the housing market continues to grapple with unsustainable interest rates and price inflation, MegPrime provides a real financial lifeline to renters, homeowners, and aspiring homebuyers.”
While crypto cashback is being promoted as a novel concept in the housing sector, similar rewards have been available through credit cards for several years.
The platform has made significant promises for renters, claiming that those who use the token to pay rent may be “eligible to receive 100% of their past 12 months of rent, up to $25,000, toward a future home purchase.”
Recent data indicates that approximately 32% of people in the US reside in rental housing.
Additionally, the platform claims that homeowners may be able to access mortgage rates up to 2% below the market average, potentially leading to savings of “thousands of dollars.”
The average 30-year fixed-rate mortgage in the US currently stands at 6.06%, according to Freddie Mac.
Regulatory Climate and Future Outlook
The SEC’s support for the MegPrime program aligns with SEC chairman Paul Atkins’ continued expression of pro-crypto views. Earlier this week, SEC chair Paul Atkins stated that he is “bullish” on the chances of US President Donald Trump signing a specific bill into law this year.