By selling a house for cryptocurrencies, you become part of the cryptocurrency and blockchain movement. Cryptocurrencies, such as Bitcoin and Ethereum is not just secure; but is anonymous in many ways. Using the power of the internet, this digital currency guarantees its value and also confirms transactions.
Cryptocurrency is an exciting prospect for real estate agents and brokers even though it is yet to enter the mainstream arena. Here are three most important things to remember when selling a house for the cryptocurrency.
Understanding the risks involved in cryptocurrency trading
It is a known fact that crypto tokens are extremely risked high and volatile digital currency. Anybody accepting cryptocurrencies must understand the risks involved extremely well. The real estate attorney who you work with must have excellent knowledge of how cryptocurrencies work. Sellers accepting cryptocurrency must essentially know about the tokens they will accept and must also convert a few of the received tokens into fiat or real money.
Be Clear About the Contract
Both parties must be clear on the price, currency type (Bitcoin, Ethereum, Ripple, etc) and closing date. At this time, both parties will jointly agree on a fiat price and the type of cryptocurrency to be used. The purchase and sale contract has to be drafted by a very good attorney who will weigh the pros and cons and cover all aspects before drafting a contract. It will also be good if the contract has a fluctuation limit mentioned as the closing period can take up to two weeks or more.
Good Understanding of the Law
Study and do extensive research before deciding to accept cryptocurrencies for the sale of your house. Bear in mind that all states do not accept blockchain data and smart contracts. Find out about the laws governing cryptocurrency and sale of property in your state and decide accordingly.
Selling your house for cryptocurrency is certainly not a bad idea. However, make sure that you along with an established attorney analyze and address all the necessary points in the contract to ensure security.[The views and opinions expressed in this article are those of the authors and do not necessarily reflect the views and/or the official policy of the website. ]