Real estate and cryptocurrency: both are buzzwords for the millennial generation, and with good reason. As their spending power increases, younger people are seeking out investment opportunities, and there’s no better place to look than the intersection of real estate and cryptocurrency. While at the surface the two industries can seem unrelated, if you dive a bit deeper, you’ll see just how much they have in common.
Here, we’ll explore the link between cryptocurrency and real estate. Along the way, you’ll gain a better understanding of how the two can work together to diversify your investment portfolio as you build a brighter financial future.
Both Provide Investment Opportunities
Over the past year, the pandemic has disrupted traditional investment opportunities and given rise to unlikely new ones.
Supply constraints in the housing market and increased housing demand from a growing population have led to a sharp rise in U.S. home values. The Case-Shiller U.S. National Home Price index has risen by 18.6% in the past year alone, the sharpest rise since data was first collected in 1987. Clearly, the perks of investing in real estate are undeniable. As the world’s population increases and the amount of land on earth remains constant, real estate is a solid passive investment that can allow buyers to save for retirement while benefiting the local community.
Likewise, the cryptocurrency industry has seen booms of its own. In mid-October 2021, Bitcoin broke its previous all-time high, hitting a new record of $66,974. Non-fungible tokens, better known as NFTs, have also made headlines in recent months. NFTs are built with the same blockchain technology as cryptocurrency and “represent ownership of real-world items like art, video clips, music, and more,” according to Business Insider.
Cryptocurrency users can buy NFTs of all kinds through the blockchain. Popular musician Grimes sold $5.8 million of digital art through 10 NFTs earlier this…
