Conducting real estate transactions with cryptocurrency: A comprehensive guide

The use of cryptocurrencies in the real estate market offers speed, transparency, and global access, allowing investors from anywhere in the world to participate without traditional banking procedures. To carry out a transaction with Bitcoin, Ethereum, or another digital asset, you must first ensure that the seller or agency accepts crypto payment and agree on a reference exchange rate. Next, sign a contract that specifies the crypto asset, the exact amount, the destination wallet address, and transaction deadlines, including escrow clauses if desired for added security.

During the payment phase, transfer the funds from your wallet to the smart contract or the seller’s wallet, retaining the transaction hashes as proof. Once the transfer is complete, present these proofs to the notary along with the contract so that the deed reflects both the payment method and the euro equivalent value based on the official exchange rate of the day. After notarization, the notary will submit the documentation to the Land Registry, where the new ownership will be recorded.

From a legal and fiscal standpoint, it is ess

ential to convert the transaction amount to euros to calculate taxes on capital gains and to comply with AML/KYC controls required of both buyer and seller. Additionally, you should stay informed about the European MiCA regulation, which introduces new requirements for crypto asset service providers.

To streamline the entire process, it is recommended to work with custody platforms such as BitGo or exchange services offering escrow, use high-security hardware wallets (Ledger, Trezor), and enlist specialized legal advice in crypto and real estate law. This way, you can combine the agility and profit potential of digital assets with the solidity and security of the traditional real estate sector. If you want to maximize your investment and explore this innovative approach, schedule a consultation with our team of experts.