Effects of the cryptocurrencies on property prices: rising Bitcoin courses lead to increased investments and higher prices

Veröffentlicht:

Von:

Influence of cryptocurrencies on real estate prices

A recently carried out study shows that districts with a high distribution of cryptocurrencies have a faster increase in real estate prices as areas without such prevalence. The results of this study indicate that the effects of cryptocurrency investments on the real estate market should not be underestimated.

In 2017, Bitcoin's price rose from $ 950 to $ 14,000. This led to a significant accumulation of crypto assets for early investors. As a result, real estate prices in counties with a high distribution of cryptocurrencies in the nine months after this increase were $ 1,878 higher than in other areas.

It is important to note that the influence of cryptocurrencies on other financial investments can be limited. Nevertheless, the results of the study clearly show that investments in cryptocurrencies can actually have an impact on real assets.

The increasing importance of crypto assets in the real estate sector can also be observed. After the increase in the Bitcoin price, considerable money sums were deducted from crypto exchanges and inserted into real estate investments. A startup called HomeBase recently announced the sale of its first single-family house worth $ 246,800, which illustrates the connection between cryptocurrencies and real estate.

In addition, the real estate technology company Roofstock as the first company enabled the trade with a rent house via an NFT marketplace. These developments show that the use of cryptocurrencies in the real estate sector is increasing and new opportunities for investors are created.

It remains to be seen how these trends will develop. Nevertheless, real estate investors and buyers should keep an eye on the effects of cryptocurrencies on prices and transactions. The connection between cryptocurrencies and real estate is real and could become even stronger in the future.

Information about the latest findings, market trends and more can be found in the daily reports from Blockworks Research, which deal with swords and governance updates, analysis of the token performance and indispensable tweets. It is worthwhile to stay up to date on the developments both in the crypto and real estate sector.