Prime-Ex Perpetual ICO
Token Crowdsale Details and Interview
“We believe that the residential banking model has fallen behind the pace of how people will experience home ownership moving forward into the future, as geographical borders continue to be opened, as more and more people seek a life abroad, as it becomes easier to live and work outside of your native country.” – Prime-Ex
Prime-Ex ICO information
|ICO start date||November 15|
|ICO end date||November 30|
|Pre-ICO||September 18 - November 11|
|Platform||Waves, not re-issuable|
|Token Supply||30 million PEX tokens|
|Token for Sale||25 million PEX tokens|
Interview with Prime-Ex
BitcoinChaser: What kind of problem, market deficiency or opportunity inspired you to launch your project, and how will your project address this?
Prime-Ex: Our background is residential development, residential homebuilding, residential selling, and residential lending on three different continents. Based on our experience, we believe that the residential banking model has fallen behind the pace of how people will experience home ownership moving forward into the future, as geographical borders continue to be opened, as more and more people seek a life abroad, as it becomes easier to live and work outside of your native country. We’re already witnessing how popular tourist spots are transitioning into melting pots of permanent residents with backgrounds from all over the world.
We identify this microeconomic change as indicative of the larger reality: people en masse are living and working differently than ever before, and it’s more likely now than at any other point in history that their tomorrow won’t necessarily be the same as their yesterday or their today. Another way to put it would be that we’re long removed from the time when your grandfather would get out of high school, go to work at the factory, and retire thirty years later from the same factory. As the realities of global travel, global living and global working have changed to become more liberalized, residential development, residential homebuilding, and residential lending have only become even more paperwork-intense, more risky, and more restrictive. These realities have made it very hard on the homebuilding community in general, and tragic for the many consumers as their lives get rearranged and their ability to thrive extinguished largely through no fault of their own. We’re going to change that.
BitcoinChaser: How will your project address this problem, market deficiency or opportunity in a unique way?
Prime-Ex: For the potential global reach that our fully implemented concept has, our approach is remarkably simple: as the lender, we have put ourselves on the same side of the table as our developers, as our builders, and as our buyers by replacing their interest rate risk with equity participation. Our developers and homebuilders no longer have to worry about quarterly interest rate payment. Our developers and homebuilders will no longer experience a situation where they are required to pour more and more into their project while the bank’s true exposure becomes less and less every quarter. They can lay down and go to sleep at night while we will earn a percentage of the deal when they make a sale. Everybody wins.
Our homebuyers will enjoy an even more rewarding experience. No more credit scores. No more verifying income. Why verify the income you made two years ago when you can’t promise that it will be there even two years from now, let alone the life of the loan? We will instead judge their ability to perform by their ability to plan ahead, in that they are required to have two years principal and interest in the bank after down payment. Best of all, for the first time in residential lending history, our borrowers will enjoy a guaranteed buyback program. They’re free to do whatever they want to with their home, they can live in it, they can pass it along to their heirs, they can use it as a vacation rental, these are all just fine with us. When it comes time for them to sell, they can sell their home on their own, they can use other realtors, or they can use our realtors. However, if some life situation hits them in the face and they need out and need out now, we’re here. We guarantee to buy their house back from them at 2/3 what they originally paid for it. That’s 2/3 better than any other residential lender in the world. We can do this for a couple of different reasons: first, not only did we build the home, but we’ve built it over and over and over. Whatever may be wrong with the home that we’re unaware of, we stand ready to cure the problem, more efficiently and with less cost. Second, the homeowners have essentially paid us month in and month out to maintain our collateral. Yes, we mow the lawn and make sure the gardens are lush, but the homeowners also use us to maintain their home. When there’s a problem with the light socket, call us, we’ll fix it. When there’s a problem with the roof, call us, we’re here to help.
When the time comes for someone who just can’t make the payment anymore for whatever reason, we’re here once more to stand in the gap and provide a softer landing. Because it’s part of the program a homeowner leaving in this situation simply activates a clause in the contract, we buy the house back for what we promised, and they leave with their character and integrity in tact. All they have to do is be sure to make the first two years worth of payments and then keep their payments current from then on out until the day comes when they need to cash in their chips. When it comes, we’re there.
We can do this because our lending program is so user-friendly that we will eat first. What we mean by that is that no matter what the current residential environment may be at the moment, whether a buyer’s market or a seller’s market, a home that a Prime-Ex participating partner has for sale must be the first topic of conversation. Nobody else makes it so easy and so fair for a new homeowner to buy a house. Nobody else makes it so easy and so fair for a homeowner to get out from underneath the weight of a large mortgage when they absolutely have to. Because we’re on the same side of the table with our borrower, we’re their ally and their friend instead of their potential adversary in court someday. We’re in their corner. We’re for them and we’ve spent the entire length of the loan history building a real relationship with them month in and month out. They’re in our corner too!
With our model, everybody wins. We win. Developers win. Builders win. Buyers win. Token holders win. The only people that potentially lose is the traditional bankers, and if that occurs then we’ll probably have a job available for them and teach them a better way to approach residential real estate and treating people.
BitcoinChaser: How do you think that competition will develop following your ICO?
Prime-Ex: The most likely thing to happen once our concept is proven is for others to come along and mimic our concept. Certainly it is conceivable that a rival would come along that followed our model of replacing interest rate risk with equity participation as the benefits to both the industry and the consumers are obvious. With the regulatory requirements and capital reserve ratios that are necessary in the fractional banking model for providing financing for homes that are not your own, it’s unlikely that we’ll see the traditional residential banking model being capable of adapting. To adapt would equal serious de-regulation of the lending industry, and if that occurs, then that’s a terrific thing for consumers in general and we would applaud the bank for implementing real change like they should have done thirty years ago. Perhaps we would pat ourselves on the back for a job well done.
BitcoinChaser: For all those who have read your white paper and are still on the fence about contributing to your ICO, what can you tell them that could lead them to buy into your project?
Prime-Ex: Not much really. We’re not looking for investors in the traditional sense and this isn’t some get rich quick scheme. We’re looking for people who see the flaws in the residential lending model like we do and who want to be a real catalyst for change. We’re looking for people who see how simple changes of percentages in qualification terms as imposed by the traditional banks can and has created artificial demand for houses creating housing booms, and can and has created artificial scarcity of buyers not wanting to buy houses creating housing crises.
The world population is growing. There will always be demand for residential housing and there will always be people looking to buy a well-built house at a fair price and fair lending terms without all of the traditional hassle. This is the future that we believe in and that we want to pass along to our children. The people that share that vision will gladly present themselves and their purchase of PEX tokens will help to change the world of residential real estate for the better!