Real Life House Sells As NFT
As the Metaverse and cryptocurrencies continue to lay low after the last few years of bull/bear excitement, non-fungible tokens (NFTs) have made quite their own impact.
NFTs are unique, digital identifiers that cannot be duplicated, and are recorded and solidified in a blockchain (see here for an intro to crypto and blockchain). We know them mainly as digital art pieces that look like a complete waste of money, or a scam.
While some folks get themselves in hot water with NFTs as their digital nature (and seemingly made-up prices) are prime for money laundering, the legal use for them is growing quickly.
This month a real-life home was sold as an NFT. Like many others, you may be thinking, “what?!”
The perk of this particular transaction for the home was, according to the buyer per cryptoslate.com, “Instead of waiting months for underwriting, appraisals, title searches and preparing deads, I was able to buy a full title-insured, rent-ready property with one click.”
Roofstock, the real estate platform that made the deal, is working with partners for decentralized financing. This means that borrowers can reach outside of the traditional, centralized banking system to finance their mortgages. Instead of going through a lengthy process with a bank, for example, to qualify for, secure, and receive your loans, one can engage with a private entity like Roofstock and get it all done with private investors in a fraction of the time.
This kind of detouring around our current systems of credit and government heavy-handedness is extremely appealing to many.
Additionally, the nature of the Ethereum cryptocurrency makes it a great choice for transactions and contracts. In a traditional deal, the party offering the service or item has to trust that the buyer will pay them after the service has been rendered. With crypto contracts through Ethereum, however, there is no trust needed because the money is provided and guaranteed along with the contract.
For example, if a traditional plumber quotes you $500 to fix your kitchen sink, he does the work and then hopes you will pay him after, or that your check won’t bounce. With Ethereum, a modern plumber doesn’t start the work until that $500 is offered up and built into the contract. The moment he finishes the job and you confirm the work, the money is released. Less worry for you, less trust for him, and more efficiency overall.
While this might all seem a bit futuristic and confusing, don’t worry. The foundation for this is being laid and the bugs are being worked out by those that are extremely passionate or rushing in. The NFT and crypto game has many folks across the world giving it a leery side eye, but it is important to acknowledge the power these technologies have in overriding a growing globalist agenda for control of your personal assets and liberties.