Bitcoin is considered the first decentralized digital currency and with or without us, it’s already a global phenomenon. Most people that I know want to invest in Bitcoins, hoping the price against the USD appreciates significantly and they can make a profit from it. However, some industries, including real estate, are starting to capitalize on this emerging currency.
Most recently, a Coral Gables home made headlines when it sold for over $6M, or approximately 1,600 BTC. However, Bitcoin has been a part of the South Florida real estate market for several years. Launched in 2009, tech-savvy real estate agents, investors and buyers quickly embraced the new cryptocurrency, especially for international buyers.
Today, every international payment passes through a network of local banks, central banks and international wire services, taking 7 to 8 hops to get to its destination. With every hop, the transaction incurs fees, potential errors, threats to privacy and other security risks. Although banks and financial institutions are looking for ways to utilize Bitcoin’s private blockchain technology, their delay encourages the notion that Bitcoin will replace paper-and-coin-based-money in the near future.
South Florida appears to be an ideal market for Bitcoin. Utilizing an alternate form of currency opens up properties to buyers and investors from all over the world, including Asia, Canada and South America.