Cryptocurrency Creeps Further Into Real Estate Deals

In our modern time of intricate technological advances of digital currencies, real estate transactions are not immune to the utilization of cryptocurrency to close the deal. Many real estate companies and individuals are now embracing the use of cryptocurrency to buy, sell, and invest in properties. Cryptocurrency investing in real estate offers advantages such as lower transaction fees and faster processing times, making it an attractive option for those looking to diversify their investment portfolios. Additionally, the use of cryptocurrency can also provide a level of anonymity and security for both buyers and sellers in real estate transactions. However, despite the benefits, there are also some challenges and risks associated with the use of cryptocurrency in real estate. One of the major challenges is the lack of cryptocurrency regulation in real estate, which can lead to potential fraud and money laundering activities. Additionally, the volatility of cryptocurrency prices can also pose a risk to both buyers and sellers, as the value of the digital currency can fluctuate significantly. As the use of cryptocurrency in real estate continues to grow, it is important for regulators to establish clear guidelines and regulations to ensure the security and legitimacy of transactions. Cryptocurrency regulation in real estate will be crucial in mitigating these risks and ensuring the stability of the market.

With crypto remaining as a highly volatile means of monetary moves, therefore making many people continually quite skeptical of its usage, the dark clouds of mistrust seem to be lifting in some markets.

Patrick Hayes reporting courtesy of ABC 15 Arizona.

It may sound unusual, but some believe cryptocurrency is the next big thing.

“I think we’re breaking new ground,” said Ben Hudye, chairman of the Hudye Group, a Scottsdale-based real estate company.

Hudye and local real estate agent Johnathon De Young of Russ Lyon Sotheby’s recently announced they were selling four luxury condos in Scottsdale and are willing to accept cryptocurrency as payment.

“(Hudye) realizes Bitcoin, Ethereum and digital assets, in general, are becoming a mainstream asset class,” said De Young.

There are currently four condominiums for sale. The prices range from $1.6 million to $2 million.

Meanwhile, the cryptocurrency bitcoin recently traded for more than $60,000.

According to Hudye, he still has a lot to learn about using Bitcoin and other crypto assets, but he believes they’ll see more of it in the future.

“On a scale of 1-10, I probably had a knowledge of about a two, 45 to 60 days ago,” he said.

“Today, I’d like to think I’m at a six so I’m still not an eight or a nine where I’m well-versed in it but it’s exciting,” Hudye said.

“It’s extremely exciting and I can understand why people have been involved in it for as many years as they have,” he added.

Meanwhile, Sedona resident Ryan Nichols recently used bitcoin to purchase a home in Arizona.

Nichols didn’t give too many specifics but said he bought into bitcoin a few years ago and felt it was time to reinvest.

“I think the timing was obviously right,” he said.

“It was sitting around $54,000 when I did the purchase and we were looking at having another value instead of having all cryptocurrency,” he said.

“it was a good time to jump into the market and diversify a little bit,” Nichols added.

Nichols admits part of buying his $2 million home with bitcoin was to prove that cryptocurrency is a viable option.

He said there’s a lot of skepticism but compares it to other, more common assets like gold.

“You know, bitcoin is like any other asset whether it’s stock, bonds, gold, or silver,” he said.

He recommends people start looking into it.

As for the luxury condos, officials told ABC15 they’ve been getting a lot of interest and inquiries.