TLDR
- Propy aims to acquire mid-size US title firms to modernize the $25B market.
- The firm uses AI tool Agent Avery to cut escrow workload by 40%.
- Propy secured funding from DeFi lender Morpho to finance acquisitions.
- Over $4B in real estate transactions have been processed through Propy.
Propy, a real estate tokenization company, is launching a $100 million acquisition push to upgrade the outdated U.S. title industry. The firm aims to buy profitable, mid-size title companies across key states and bring automation to a sector still relying on paper-heavy processes. CEO Natalia Karayaneva said this move is designed to scale the business and help position Propy as a leading real estate technology firm.
Expansion Targets Mid-Size Title Firms Across the U.S.
Propy has announced plans to acquire mid-size property title companies across the United States over the next 12 months. The company will focus on regions like California, Texas, and Florida, where title volume is high. These acquisitions are part of a broader strategy to roll up traditional firms and modernize their operations using technology.
CEO Natalia Karayaneva told CoinCentral, “This will allow us to get to a billion-dollar valuation as a tech company.” Propy believes that by owning these firms, it can replace manual steps in real estate transactions with digital processes powered by blockchain and automation tools.
The title industry in the U.S. is valued at around $25 billion and consists of about 7,000 companies. Most are small operations that still use paper documents and rely heavily on human labor. Propy’s goal is to standardize and automate core title services like property ownership verification, title insurance issuance, and legal transfer management.
Use of Blockchain and AI to Reduce Manual Work
Propy plans to integrate its technology stack into the companies it acquires, replacing many of the manual steps currently used in closing transactions. The firm uses blockchain for secure and transparent ownership records and applies artificial intelligence to simplify transaction processing.
The company has developed a tool called Agent Avery, which functions as an AI escrow agent. According to Propy, Agent Avery can automate nearly 40% of an escrow officer’s tasks. The system operates continuously and supports both fiat and cryptocurrency transactions.
Agent Avery was trained on Propy’s own transaction data and is used in deals the firm currently processes. Propy has already handled over $4 billion in digital real estate transactions, which form the base for its automation tools.
Onchain Financing Fuels Acquisition Strategy
To support its $100 million acquisition budget, Propy is using a mix of traditional and blockchain-based financing. Part of the funding comes from decentralized finance (DeFi) lenders, including the Morpho protocol.
The company said this is one of the first known examples of using onchain private credit to fund mergers and acquisitions in the real estate space. By combining these financing sources, Propy aims to close deals faster and scale its operations more efficiently.
This use of blockchain-based credit also reflects the firm’s broader mission to link real estate with decentralized technologies. Propy continues to focus on tokenization of property rights and aims to offer a more efficient and secure alternative to the existing title system.
Building an Advisory Team with Government and Tech Backgrounds
As part of its expansion effort, Propy has added new members to its advisory board. These include Chris Campbell, a former official at the U.S. Treasury, and Mike Jones, co-founder of Science Inc. They join existing advisors such as Michael Piwowar, who previously served as a commissioner at the U.S. Securities and Exchange Commission.
The expanded advisory board is expected to support the firm’s growth into new markets and help guide regulatory and technical strategies. By bringing in experienced voices from government and technology, Propy is positioning itself to manage the legal and operational complexities that come with scaling its services nationwide.
