Cryptocurrency, Blockchain, & Real Estate;
and why this technology will fundamentally change real estate and investing forever.
Real estate is a really big business! How big you ask? It’s about a $217 Trillion (yes with a “T”) industry with roughly $900 Billion in annual transactions.
Anytime a technology arises that has the potential to disrupt every part of something so large you better take note!
Recently something called Bitcoin has been getting a massive amount of hype as the value has skyrocketed over 1,000% in just one year!
The more important thing for you to learn about and understand is the underlying technology behind Bitcoin. It’s called “Blockchain”.
Think of Blockchain as a secure network where information, money, data is stored in “blocks”. These blocks are spread out over this entire network (and not all held by one entity the way banking and record keeping is handled today). This spreading out of information makes it very difficult for information to be changed or fraudulently used.
If that sounded insanely confusing check out this video that does a great job of explaining it: https://www.youtube.com/watch?v=SSo_EIwHSd4
So how does all this apply to real estate?
Here are a few ways:
1. Increase transparency & verification of ownership
Starting with a proper foundation is imperative to long term real estate success. In this video we will look at the three main areas you must focus on before you start writing checks, and buying real estate.
2. Dramatic Time & Cost Savings
Once records are placed in this transparent and immutable ledger the transactional cost of buying or selling real estate would be dramatically lower. Title reps, research assistants, country clerk records holders, document runners would all no longer be needed. This would also increase the speed with which deals could be closed.
3. New Models of Ownership
Surrounding yourself with the right people is the difference between success and failure. I started out trying to do everything myself and that was a huge mistake. In this guide we will discuss the most important members of your team, and how to find them.
4. Easily Transfer Capitol
If banking was largely reduced by pier to pier direct transfers how would this effect real estate? My process for sending earnest money, option checks, etc. is already difficult and time consuming and all my investing is currently domestic. The trouble and cost becomes much higher when you add international borders. How much more investing, collaboration, and partnerships could arise if this point of friction was eliminated?
These points only touch the surface. This technology is still massively in it’s infancy. Over the next few years you will see a shake up in the world of real estate to be rivaled only by the internet and the start of the digital revolution.
Fellow investors, get ready for a wild ride!
… and if you’re anything like me, you’re already planning on how you can harness this new technology to grow and expand your business.