Christie International Real Estate has launched a dedicated crypto real estate division that deals with transactions in cryptocurrency without any bank involvement. By doing so, the firm became the first major U.S. brokerage to handle property transactions conducted entirely in cryptocurrency, without relying on traditional banks.
Institutionalizing real estate dealings in digital assets marks is a significant development that might see other companies enact similar decisions. This marks a turning point for real estate companies venturing into cryptocurrencies.
Christie International Goes into Crypto Full Blown
The real estate firm made its foray into crypto in 2021, when it closed a high-profile deal, a Beverly Hills Estate worth $65 million. The property was bought entirely in Bitcoin. Fast-forward to 2024, the firm is opening an entirely new division with over $1 billion in listings, where sellers will accept Bitcoin, Ethereum, or stablecoins.
Properties, such as the Fin mansion ($118M), Nightingale estate ($63M), and the Invisible House in Joshua Tree ($18), would be sold in cryptocurrencies. Christie’s announcement couldn’t have come at a better time, where the crypto market is buzzing with anticipation and bullish sentiments. But why walk the crypto path completely?
One reason is privacy. Christie caters to high-value clients who may prefer on-chain transactions to maintain privacy and bypass the slow banking speed. Los Angeles-based top real estate agent, Aaron Kirman, hinted that some buyers and sellers want to remain anonymous while the deal is being concluded.
Real Estate and Crypto Finally Intersect
New federal guidance that directs Fannie Mae and Freddie Mac to treat crypto held on regulated exchanges as mortgage reserves is being considered under the GENIUS and CLARITY Acts. This means crypto direct purchases will become possible without forced conversion. That benefits the real estate industry, especially Christie International, which has launched a division to facilitate crypto real estate deals.
This move boosts legitimacy, as other brokers would be encouraged to follow in Christie’s footsteps. Additionally, the hurdle of unnecessary delays and fiat fees with traditional escrow and wire transfers is eliminated with on-chain verification. Crypto dealings foster faster settlements and confidentiality between buyers and sellers.
Furthermore, crypto real estate dealings may pave the way for tokenization, which has been making the headlines lately. We might see pilot programs for tokenized property shares under crypto frameworks, which increase homeownership flexibility and liquidity. A challenge to this trend is volatility, which may introduce settlement risks.
More Crypto Real Estate Deals Envisioned?
Definitely! Christie International has paved the way for other brokers to follow suit. It’s similar to MicroStrategy’s Bitcoin buying strategy, which other major corporate firms are mimicking. Cryptocurrency is transformative and will enable more individuals to invest in real estate with greater flexibility for ownership.
Already, other real estate firms are accepting crypto for real estate deals. Japan’s Open House Group, for example, accepts XRP, DOGE, and SOL for property deals. This entails that real estate firms are tapping into crypto real estate payments.
Besides, some firms are setting up Bitcoin treasuries to optimize their finances and curb volatile economies. For instance, Grupo Murano, a Mexico-listed company, recently outlined plans to adopt Bitcoin as a core strategic asset. Cardone Capital will also adopt a full-scale Bitcoin-backed strategy and said it will convert part of its rental income from its 364-unit complex into Bitcoin.
