Texas-based homebuilder Megatel Homes has received a "no-action" letter from the U.S. Securities and Exchange Commission (SEC), clearing the way for the launch of its crypto payments and rewards platform, MegPrime. The SEC's Division of Corporation Finance stated it would not recommend enforcement action, provided the platform strictly adheres to its outlined operational plan.
The MegPrime platform will utilize "MP Tokens" as a universal payments and rewards mechanism. Users can earn token rewards—up to 20% back—for using the tokens to pay for everyday expenses, including rent and mortgage payments. These rewards can be redeemed for further purchases or converted to U.S. dollars. The company emphasized that the tokens are marketed solely as a payment and rewards vehicle, not as an investment product.
Megatel has made ambitious claims about the platform's benefits. Renters who pay with MP Tokens may be eligible to receive 100% of their past 12 months of rent, up to $25,000, as credit toward a future home purchase. For homeowners, the platform promises potential access to mortgage rates up to 2% below the market average, which could translate to significant savings given the current average 30-year fixed-rate mortgage of 6.06%.
Co-founders Aaron Ipour and Zach Ipour positioned MegPrime as a financial lifeline, stating, "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." Zach Ipour added that the initiative marks Megatel's first entry into digital assets, aiming to create "an open ecosystem for all renters and homeowners nationwide."
The SEC's supportive stance aligns with pro-crypto views recently voiced by SEC Chairman Paul Atkins. This development occurs as real estate firms increasingly explore blockchain integration. The U.S. Federal Housing Finance Agency (FHFA), under director and crypto supporter Bill Pulte, is reportedly studying the role of cryptocurrency holdings in mortgage qualification processes.
