Every now and then, a new technology comes along to completely disrupt a pre existing market or industry. The locomotive, automobile and Internet are all great examples of inventions that all completely changed the landscape of human communication and interaction. And in today’s technologically advanced world, there seems to be a new disruption every few months. One of the most recent tech trends to take the world by storm is Bitcoin; but Bitcoin isn’t exactly new, but it sure is catching on.
Firstly, I should explain what Bitcoin is. First introduced in 2009, Bitcoin is a form of cryptocurrency, or a digital form of currency. The system is peer-to-peer, meaning people transfer Bitcoins amongst themselves directly, without a “middleman.” In layman’s terms, Bitcoin is an online, completely virtual, method of payment. And although it was first created almost 10 years ago, it is just now becoming a legitimately recognized method of payment. And it intends to disrupt several industries.
Bitcoin has already become a valid form of payment in the retail and restaurant industries. It’s next target? Real estate. According to a report from CNBC.com, Bitcoin is becoming more and more popular as a form of payment to close out deals for property. The article claims that deals have been made in California, Texas and New York using the cryptocurrency. Just last month, the very first single-family home purchase through Bitcoin was announced, and this has potential to change the landscape of realty.
According to real estate professional Ben Shaoul, who is the president of Magnum Real Estate Group, cryptocurrency is becoming more and more popular as the demographic for purchasing real estate changes towards a younger, more millennial mindset. According to Shaoul, millennials want other, less conventional methods to pay for a wide variety of services and products, including homes. Bitcoin offers that avenue. He also claims that those from outside of the country looking to purchase real estate are looking for other methods of payment, such as Bitcoin. It is a lucrative industry that has potential to pay major dividends.
Bitcoin is a new, technologically advanced form of payment whose appreciation is booming. It won’t take long for its adoption rate to skyrocket as well. For those of you interested in real estate, you may want to invest in, and begin accepting, Bitcoin, it very well may be the future of currency.