A crash course for agents in crypto transactions
Denis Smykalov (broker/owner of Wolsen Real Estate Miami) asked a client if he could accept crypto. Smykalov had two choices. He could say no and lose the business. He could also say no and lose business.
“I heard about crypto in 2018. “I first heard about crypto in 2018.
Denis Smykalov was made an agent in Miami in 2012. He has been a well-known agent in Miami since 2012, thanks to his transactions in cryptocurrency.
Smykalov is a self-described technology early adopter. While his colleagues were still asking for fax documents, he was using DocuSign. He now sells cryptocurrency, while others question its legitimacy and legality. This accounts for 15%-20% of his business.
Despite the decline in value, cryptocurrency like Bitcoin can still be used for real estate, especially among buyers from Europe, Russia, and Ukraine. These countries have buyers and investors with whom Smykalov worked.
Smykalov offers two pieces of advice if your seller or buyer wants to use cryptocurrency in a transaction.
It’s not difficult, so don’t panic
“Even if your knowledge is limited in cryptocurrency, you can still make a sale. Smykalov said that you don’t need to be a professional.
Smykalov says that there is no difference in a crypto transaction from a regular transaction. It only changes one step from the ten that a regular transaction takes. There are professionals who can help you navigate the process.
Find an attorney
A cryptocurrency attorney is the best choice for both buyers and sellers. Smykalov says that an attorney can help a first-timer navigate the process. They will also be invaluable every time an agent sells cryptocurrency.
Smykalov said, “Don’t be afraid of learning about cryptocurrency. It is not rocket science.”
Smykalov was able to close many cryptocurrency-based sales by following these steps, staying calm, and working with the right lawyers. He also closed a resale at Marina Blue worth $465,000, a pre-construction sale at Waldorf Astoria worth over $2.5 million, and a Hibiscus Island villa sale for $19 million.
There are two types of transactions
There are two types of transactions. If the seller accepts the transaction, you can purchase with crypto and then transfer the crypto to an attorney’s escrow account. Many buyers will exchange Bitcoin for Stablecoin which is a 1:1 currency with the U.S. Dollar.
“Or, you can convert the crypto into U.S. Dollars. It doesn’t matter to sellers. It’s like a regular transaction,” stated Smykalov.
According to Smykalov, cryptocurrency transactions will become more popular in the country. This means that more agents may be receiving the same call as he did and will need to make a decision. “It will always happen in big cities because people travel from all over the world to big cities. Cryptocurrency will become more mainstream, in my opinion. It may take 20 years but crypto will become more mainstream as it becomes more regulated.
The cryptocurrency market fluctuates every few year, but it can be scary for those who are looking to make quick cash. Investors who are familiar with the industry will be able to leverage their investments and may be interested in buying real estate using cryptocurrency. Additionally, cryptocurrency transactions are not affected by mortgage rates. In a market like this, all-cash buyers might become crypto buyers.
Being able to confidently take on these clients, whether you are a veteran agent or a newbie, could give your business an edge in a competitive marketplace.