Millionaire investor and Shark Tank star Barbara Corcoran has revealed that buying a home with bitcoin is the future. Her comments come at a time when cryptocurrency’s market capitalization has been plummeting for months now coupled with gruff criticism from some quarters.
In a recent interview with Money, Corcoran intimated that buying and selling a home for cryptocurrency makes a lot of sense and ideal for real estate. “I’m being very optimistic because, as a long-term play, it’s perfectly suited for real estate transactions,” She maintained.
The Shark Tank star, who made her fortunes as a real estate agent in New York, was of the opinion that bitcoin home sales will become a common phenomenon in the coming years.
Corcoran believes this will come about as the result of the flagship cryptocurrency’s peer-to-peernature, which removes extra cost creating transcending privacy. “It’s peer-to-peer, with no central anything, and that’s why it’s so powerful. The main idea is to eliminate the middle guy,” she emphasized.
As a matter of fact, many people were attracted to the so-called “cryptoshere” as a result of its peer-to-peer feature that removes the third party from all transactions. Concerning privacy in a financial transaction, which many people take for granted, cryptocurrency solidifies that.
Bitcoin Will Replace Banks
Another striking point the successful entrepreneur raised in the interview is the coming obsolescence of the banking system as a result of cryptocurrencies. She prognosticated that in a decade the banks will be gone if there is no modification in their operations.
“I really don’t expect banks to be around 10 years from now unless they change their model,” she noted. “I don’t see why it’s going to be needed if Bitcoin does what I believe it’s going to do.”
Having your bank account on your cell phone, PC and handheld devices is something many experts have maintained is a threat to the traditional financial and banking system. More so, it is considered to be a unique means of controlling your own finances.
There Are Challenges
Even though Corcoran is very sanguine about cryptocurrencies and real estate in the coming years, she thinks there are some challenges that come with it.
She illustrated the absence of insurance and assessment in a peer-to-peer transaction is distressing to many people. Additionally, cryptocurrency’s infamous volatility is also worrying.
“I could agree, this week, that that unit is worth $3 million. If by next Thursday, the bottom falls out and [the bitcoin] is worth $2 million, that $3 million agreement is useless.”
Irrespective of her enthusiasm for cryptocurrency, the waitress-turned-real estate mogul thinks crypto is not for her. This she attributed to her tendency to misplace things like credit cards and cell phone.
Yet still, the millionaire who still flies economy thinks internet of money will withstand these bottlenecks on its way and the antagonists will kick themselves for missing out. “The big guys that control the marketplaces are always the last guys to see the train coming,” she observed.