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What is a cryptocurrency?

Love in UX/UI design
Updated on ・4 min read

Cryptocurrency is a digital form of currency. The creation of electronic currency is based on cryptographic methods, specifically with the help of blockchain technology. Blockchain technology is a continuous chain of blocks. The entire chain is stored on a large number of personal computers, that guarantees the security of the information. In order to hack the blockchain, it is needed to hack the entire computer system. If one or two computers fail, the information will not be lost and will be available on other devices. The blockchain system is built on mathematical calculations, and that is why cryptocurrency cannot be counterfeited or spent twice.

Cryptocurrency as an artificial payment system has its own official rate. It exists only in the digital space, but it is equated to real money. And the more Internet technology advances, the more cryptocurrency develops and becomes popular.

At the present time, the global financial market has many cryptocurrency choices. Moreover, their number is only increasing every year. Because of the rapid development of this market’s segment, large investors have a strong interest in electronic currency. The most popular and demanded cryptocurrency today is Bitcoin. Other popular cryptocurrencies are Ethereum, Ripple and Libra.

Bitcoin was created back in 2008. «Mining» is required to obtain this virtual currency. Mining is the process of producing Bitcoins by using computer solutions to various mathematical problems. The process of Bitcoin mining is not controlled by a single center, so your electronic currency will always be safe.

What does this news mean for Cryptocurrency?

Every year the UAE real estate market attracts more and more foreign investments due to the constant increasing of the real estate liquidity and convenient conditions for investors. In 2018, the first transaction of purchase of real estate in the UAE for cryptocurrency was conducted. By now 50 apartments of premium-class have been sold in Dubai for cryptocurrency, namely for Bitcoin.

Dubai is one of the first cities in the world that has introduced purchasing of real estate for cryptocurrency. For instance, one can buy or rent a property using Bitcoin. This holds out advantages for both Dubai’s real estate and cryptocurrency in general. Due to the ability to purchase real estate in Dubai using e-currency, the popularity and demand of cryptocurrency will only increase. Electronic currencies will carry more weight in the eyes of society. Combining the real estate and technology sectors will remove unnecessary paperwork and make the process of buying and selling real estate faster, easier and more convenient. In addition, this form of payment will increase the volume of transactions and benefit the real estate market of the United Arab Emirates.

Which developers are accepting cryptocurrency?

The government of the United Arab Emirates sees cryptocurrencies as the future money. Today, many leading real estate developers in Dubai have made it possible to purchase real estate for cryptocurrency. These developers include Emaar Properties, Select Group, Dubai Properties. Investors can buy properties in such residential complexes as District One Residences, Marina Gate, Beach Isle, La Vie, Jumeirah Beach Residence (JBR), Marina Vista, VIDA Residences, and Surf Residences. Other developers are in talks to give investors the opportunity to invest digital assets in property purchases as well.

How this will work?

The very first thing an investor needs to do in order to buy, sell or rent a property in the UAE using cryptocurrency is to contact a real estate agency, which will help a client to find the most suitable property. Metropolitan Premium Properties company has signed contracts with the best real estate developers in Dubai, and the agency's experts will provide a guaranteed full support in the acquisition of real estate. The selection of the real estate objects is carried out in accordance with a client's needs and requirements. In order to use, send and receive cryptocurrency, a company or an individual needs to create an online wallet. Then a client confirms their choice and acquires real estate for Bitcoin or other electronic currency. Such transactions are not only secure, but also faster than traditional financial transactions that use fiat money.

Accepted Cryptocurrencies for Property Sales

Real estate in Dubai can be purchased using the largest cryptocurrencies in terms of capitalization – Bitcoin and Ethereum. In digital finance, Bitcoin, like US dollar among all fiat currencies, is a widespread currency, while Ethereum is the guarantor of speed and security. To complete the transaction, any of the above cryptocurrencies will be converted to dirhams, and transferred to developer.

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