Why We Will See More Real Estate Purchases Through Bitcoin
The rise of Bitcoin has given birth to various different cryptocurrencies. Bitcoin is a digital asset which works with the same purpose as money. People often call this as virtual currency or digital cash. There are different cryptocurrency listed over the internet; Bitcoin is the largest blockchain network.
Bitcoin is used in online transactions. Today, businesses slowly recognize and accept Bitcoin as a form of payment. And soon enough, it will cater all kinds of purchase. More and more sellers are buying and accepting Bitcoin as currency. However, many are still asking its stability.
In different parts of the world, some people are selling their real estate in exchange for Bitcoin.
There have been reported cases in Scotland, London, USA, UAE, and Russia.
It can happen; however, some challenges might occur. Although you want to acquire property or an asset, it will go through the same process as to buy an asset that is payable with traditional cash. But still, there are challenges that parties may go through like in Russia. One is that cryptocurrency has not yet gainfully recognition from the government. It poses lack of legal classification.
The government has not yet made regulations on selling real estate and using cryptocurrency as payment. Today, they are now making legal drafts to discuss regulations and legalize the Bitcoin as a currency. Another obstacle, if the sale is dealt with Bitcoin, the transfers, permits, and legal documents are all payable thru traditional cash and not Bitcoin.
However, in the other part of the world, some people are expressing their willingness to take Bitcoin as payment for their for sale properties. Countries like Germany, USA, Indonesia, and Latin America are already patronizing Bitcoin.
Like Bitcoin and other cryptocurrencies, Scotland also had their cryptocurrency called Scotcoin.
According to Scotcoin, a man David Low sold his residential apartment in Glasgow and is willing to be paid with Bitcoin. Low is a believer in Bitcoin and believes in the bright future of Scotcoin making its first ever real estate purchase done in the history of Scotcoin in Scotland.
With its advanced technology capabilities, it also will handle such trade. First, the government should open its opportunities on Blockchain system; giving blockchain legitimacy in transactions.
If so, investors and business people will be able to avail low reasonable processing fees for transfers, legal documents, and permits.
With Blockchain, parties will be able to view the ledger of the property – who owns the possession, what are the expenses made for its construction and its value at present. Also, parties involved can view all the transaction made. Such approach poses transparency and security as one of the advantages when using Blockchain technology when processing real estate transactions.