Framework Agrees to Invest $45 Million in Better.com, Which Plans to Launch 'Home Token' Mortgage Token

BlockBeats News, February 24th, Canadian venture capital firm Framework Ventures has reached an agreement to purchase approximately $45 million worth of shares, about 10%, of publicly traded mortgage lender Better.com. This move comes as Better.com plans to enter the asset tokenization field and intends to issue tokenized products backed by $5 billion in mortgages and other loan assets.

Sources revealed that the retail-oriented token may be named "Home Token." The company stated that the initial tokens will only be available to accredited investors, with future plans to gradually expand to a broader user base. Better.com's founder and CEO, Vishal Garg, stated that tokenization can reduce intermediary steps, thereby lowering financing costs and providing consumers with lower-interest mortgage products.

It is reported that Better.com is collaborating with the DeFi ecosystem Sky to advance mortgage asset on-chain. Sky uses real-world assets (RWA) to support stablecoins, with the current ecosystem's capital size at around $18 billion. Framework Ventures is also a key supporter of Sky.

Better.com had planned to go public in 2021 with a valuation of $7.7 billion, but its actual IPO in 2023 saw a more than 90% drop in stock price on the first day of trading. The company is currently valued at approximately $4.5 billion.