"No warning can save people determined to grow suddently rich" - Lord Overstone

  • 2 days Major League Baseball Turns To Blockchain Tech
  • 3 days Institutional Investors Hold A Lot More Crypto Than You Think
  • 3 days U.S. Treasury Yields Could Be About To Break Out
  • 3 days Tesla Stock Stumbles On Model 3 Cancellations
  • 3 days Yuan Rebounds At The Expense Of The U.S. Dollar
  • 3 days Iraq Unplugged: No Internet, No Protests, No Money
  • 3 days The Tariff War Could Spark A Debt Crisis In China
  • 4 days Gold Selloff Continues As Dollar Climbs Higher
  • 4 days Gold Investors In A Frenzy Over Sunken Russian Warship
  • 4 days The New King Of Electric Cars
  • 4 days BlackRock Goes Bitcoin
  • 4 days U.S. Banks See Best Earnings Report In Years
  • 4 days The Case For Gold Is Not About Price
  • 4 days Stock Market Sentiment Turns Bullish
  • 5 days What Is Bitcoin Really Supposed To Be?
  • 5 days The Surprising Media Giant Taking On Netflix
  • 5 days Cybersecurity Stocks Are Red-Hot As Election Looms
  • 5 days Americans Grow Weary Of U.S. Trade Policy
  • 5 days What Putin Really Wants From Trump
  • 5 days Europe’s EV Sales Growth Is Slowing
Chinese Police Bust $1.5B Crypto Gambling Scheme

Chinese Police Bust $1.5B Crypto Gambling Scheme

Chinese police have busted a…

The First Bitcoin ETF Might Be Just Months Away

The First Bitcoin ETF Might Be Just Months Away

Following the SEC’s rejection of…

Is Google Warming Up To Cryptocurrencies?

Is Google Warming Up To Cryptocurrencies?

It appears that Google could…

Bitcoin Is Winning Over The Housing Market

BTC

Wild volatility isn’t doing anything to dampen the real estate industry’s interest in cryptocurrencies, and it’s not just about luxury properties whose buyers made windfalls on crypto last year.

The underlying blockchain technology promises to revolutionize the way everyone buys homes—and now it’s going mainstream.  

Already, real estate aggregators such as Zillow, Trulia and Realtor are seeing crypto competition pop up with impressive lists of homes for sale in bitcoin.

Bitcoin-Realestate.com offers everything from a $7,000 garage for payment in Ethereum to a $3.6-million Panama penthouse—and everything in between. 

(Click to enlarge)

Cryptohome.us is another emerging listing aggregator for sellers willing to accept cryptocurrencies.

(Click to enlarge)

And crypto hit another milestone earlier this year with the first-ever sale of property in Ethereum, bypassing the clerk’s office in South Burlington, Vermont—one U.S. state that is not only embracing blockchain, but hoping to be one of the leading innovators:

“We are fortunate to have a cutting-edge statutory framework that enables the use of blockchain technology, and we will continue to work with the legislature to ensure Vermont remains at the forefront of these innovations,” noted Vermont Agency of Commerce and Community Development Secretary Michael Schirling. 

Cryptocurrencies make sense for the real estate market …

Neeraj Agrawal, director of communications for the Coin Center, a virtual currency-focused think tank, explained his support for using Bitcoin in real estate transactions. He stated:

Within the context of real estate, it makes sense to use cryptocurrency in those types of transactions. Cryptocurrency is a way to send large amount of money pretty easily with relatively low fees and little interference from middlemen. Related: Bitcoin And Banking: The Next Mobile Payment Revolution

But the big story for real estate goes far beyond bitcoin. This isn’t about cryptocurrency, it’s about blockchain.

According to a Knight Frank report on global wealth, blockchain technology is indeed revolutionizing the real estate industry.

“Real estate trades at a relative discount to stocks and bonds because it is less liquid, but blockchain could theoretically close that gap ..”, says Knight Frank’s Tom Bill.

How? By reducing transaction times and frictions through a paperless legal process using blockchain’s digital ledger, and by increasing property market liquidity through ‘tokenization’.

“Enabling buyers to trade ‘units’ in real estate online, the impact of this on markets and pricing is potentially far greater than removing frictions from the sale process,” Bill notes.

Sweden is said to be far ahead of the rest of the world in exploring blockchain technology for property transactions. The country has already taken it on a test-run, while it’s also being explored in the United Arab Emirates, Georgia, Honduras and the UK, according to Knight Frank.

Abimanyu Dayal, chief executive of Estatechain, told Knight Frank that blockchain could “revolutionize the real estate market because it provides 100% liquidity 24/7… If you want to invest in London residential property today you are looking at £700,000-plus and are locked in for seven to nine years. Now you can enter and exit whenever you want and that is how people want to invest.”

So while the first round of real estate buys in bitcoin were about using up the fortune some people made in crypto over the past couple of years, the next round is about the mainstream buyer. Luxury paved the way, but the average home could soon be up for grabs in crypto.

After that, we’re looking at blockchain infiltration and a new lease on liquidity for real estate.

By David Craggen for Safehaven.com

More Top Reads From Safehaven.com:

Back to homepage

Leave a comment

Leave a comment