Home purchase with the use of direct Bitcoin payment, without the involvement of fiat currency, created history in Portugal.
Adoption of crypto & blockchain in the payment system is not a big deal but adoption of crypto to accept payments directly in crypto assets is really a big thing. At present El Salvador and the Central African Republic (CAR) allows citizens to pay money to each other with the use of Bitcoin, as a legal tender. Besides these two countries, there are only a few countries that have a framework for the population to use Crypto-based payment platforms for their businesses.
On 6 May, local news media outlet Idealista reported that a deal took place in a direct 3 Bitcoin payment settlement, where crypto to fiat conversation was not involved. The deal was associated with a real estate home property buy.
Zome, real estate company, appreciated the use of its deal with the Bitcoin payment option and noted that it is a historical milestone for the company.
“This deed represents a historic milestone, the transfer of a digital asset to a physical asset – a house – without any conversions to euros.”
This thing became possible because of the new rules, under which such digital assets-based payments are allowed, where the sender and receiver will be required to have all the proof of the transactions and price value of the digital assets at the time of the deal. Till April 2022, this provision was not available but in May came into effect.
Nuno da Silva Vieira, the lawyer at Antas da Cunha, shared his point of view on such use cases of Bitcoin-like digital assets in direct payment settlements and noted that such businesses may grab better success in the future. And also Portugal is showing a better adaptive nature to the crypto Industry.
“This type of business will have an exponential increase and Portugal is showing very promising signs in terms of the digital economy.”
Mortgage loans on Bitcoin
Recently Weiss rating agency published its stance on the financial institutions, which are providing Bitcoin-backed loan for home purchases.
Rating agency stated that such companies may face huge issues in the future because the economic situation is not much better and it can result in huge problems for the companies to sustain business in future.