Insurtech Drives Milo to Over US$100M in Crypto Mortgages

The convergence of insurance technology and decentralised finance has reached a critical inflection point in the mortgage lending sector.

Milo, a fintech firm specialising in digital asset lending, has announced it has originated over US$100m in crypto mortgages. This milestone signals a robust shift in how high-net-worth individuals (HNWIs) and institutional investors view the utility of their digital holdings.

Central to this achievement is the company's largest single transaction to date: a US$12m crypto mortgage. By connecting volatile digital assets with the relative stability of residential property markets, the firm is addressing a persistent challenge for crypto-wealthy individuals who have historically struggled to access credit from traditional high-street banks.

AI underwriting eliminates margin calls

Despite the perceived volatility of the underlying collateral, Milo reports a perfect track record of zero margin calls across its mortgage portfolio. The firm attributes this stability to its proprietary technology stack, which utilises AI-enhanced underwriting and real-time collateral monitoring.

These insurtech tools allow for a more precise assessment of risk than conventional lending frameworks, with interest rates currently averaging around 7%. The application of AI in risk modelling represents a significant evolution in how insurance technology can be deployed to support non-traditional lending products.

Josip Rupena, CEO and Founder of Milo, says: “Crossing US$100m in originations demonstrates the maturity and stability of our lending infrastructure. We've moved beyond proving the concept. Now we're proving the execution. We're seeing demand across both high-net-worth individuals and institutions that recognise crypto as legitimate collateral. Clients are buying homes with their Bitcoin and others are cashing out home equity to buy more Bitcoin.”

Digital collateral meets property finance

The fintech's model allows for up to 100% financing on home purchases, with loan amounts reaching US$25m. By pledging Bitcoin or Ethereum as collateral, borrowers can bypass the need for a cash down payment.

Crucially, this structure helps investors avoid triggering taxable events that would occur if they were forced to liquidate their holdings to fund a property acquisition. This approach could reshape how insurance underwriters evaluate mortgage risk when digital assets serve as the primary security instrument.

Adam Back, Blockstream CEO and early Bitcoin pioneer, says: “Milo's product is a game changer in Bitcoin lending and unlocks real-world use cases for so many bitcoiners. While Bitcoin continues to appreciate, buyers are able to build equity in real estate and don't have to sell their long-term conviction in Bitcoin.”

Regulatory compliance strengthens institutional trust

To cater to varying risk tolerances, the firm provides a self-custody option, allowing borrowers to maintain possession of their Bitcoin. For those utilising traditional custody, assets are secured via partnerships with Coinbase and BitGo.

As a lender that is audited and licensed through SOC 2, the firm operates under a strict regulatory framework – a necessity for maintaining institutional trust in the fintech and insurtech space. According to Milo, this compliance infrastructure has been essential in attracting institutional partners who require robust risk management protocols when underwriting non-traditional mortgage products.

The combination of real-time monitoring technology and regulatory adherence demonstrates how insurtech innovation can create new markets while maintaining the stability expected by institutional investors and regulators alike.