Don’t be threatened by new advancements that you don’t yet understand. Instead, think about the positive impact on the industry, and educate yourself on the ins and outs of virtual real estate.
Welcome to the next dimension of real estate. Real estate investments are now being driven by a core belief that we are amid a fundamental shift with emerging and disruptive technologies.
Blockchain, cryptocurrency and other technological advancements are likely to shape the future of real estate in the year ahead. With more buyers and sellers showing interest in this new future.
Globally, businesses are hyper-focused on the blockchain, nonfungible tokens (NFTs) and the concept of metaverse integration. Although there is much scepticism around these technological advancements, it’s important to stay in the know and educate yourself if you’re in the world of real estate.
Going forward we will aim to advise buyers and sellers who might be interested in using their crypto investments for upcoming property investments or diversifying their assets into real estate.
If you’re looking to expand your real estate investments, you could try buying and selling in the metaverse. Investors are buying up land and houses in Sandbox, Decentraland and other virtual worlds. Last month, Republic Realm, a virtual real estate developer, announced it paid a record-setting $4.3 million for acreage in Sandbox.
These transactions are usually made using cryptocurrencies, like Bitcoin or Ethereum. Because if you’ve got the virtual cash for a second home, why not make it a virtual one!
Cryptocurrency and blockchain
Cryptocurrencies are digital money that is traded and exchanged over the internet. It can be used to buy and sell goods as well as invest and build wealth. Cryptocurrency is already being used to trade property in the UAE although the uptake has been slower than expected, and it’s important to realise the positive outcomes it can have for buyers and sellers.
Blockchain is the underlying tech that supports cryptocurrencies, and it has plenty of applications across industries. A blockchain stores information about cryptocurrency and token trades in chronological order.
This allows you to track the first trades, as well as assigning numbers to each user of the blockchain, ultimately disclosing ownership that cannot be altered or tampered with.
There are several ways we understand cryptocurrency and blockchain can have a positive impact on our industry. One is by decentralising, ultimately reducing liquidity risks and even the playing field with financial institutions.
It also can help speed up the transaction process in deals, decrease costs and create more efficiency in legal verification, documentation, and financing of a property.
Don’t be threatened by new advancements that you don’t yet understand. Instead, think about the positive impact on the industry for future generations to come.