High-end real estate developer Prometheus International sold two luxury properties on the island of Madeira for Cardano totaling €4.1 million ($4.7 million).
Madeira is an autonomous region of Portugal comprising four islands about 430 miles off the northwest coast of Africa. It is known for its mild climate and exotic vegetation, making it a tourist hotspot for those keen on beaches and nature.
The CEO of Prometheus, Priyesh Patel, said the firm decided to accept cryptocurrency to appeal to a broader audience.
“We positioned ourselves to be attractive to all markets and the current revolution is the cryptocurrency.”
As cryptocurrencies gain more recognition, buying homes with digital assets is becoming increasingly common. This spells good news for early investors, who stand to benefit massively as the effects of wider adoption kick in.
Cardano for luxury property
The two luxury properties were the first in the region to be sold for Cardano. Portuguese media outlet Sapo commented that the deal was also the biggest crypto property sale in the country to date.
“most expensive luxury real estate acquisition in Portugal since the blockchain revolution.”
Sapo reveals that the anonymous buyer bought ADA at $0.06. This may have been around September 2018, but there have been various other times since the price dipped to this level.
Having held throughout the bear market, he sold in August this year at $3, realizing a 4,900% increase in his investment.
Patel said as an early investor; the buyer was pivotal in shaping the Cardano landscape. Patel also implied the buyer is still holding a substantial bag and is looking to buy more property when ADA hits $5.
“His investment grew exponentially as he pioneered the usefulness of Cardano before it became popular. He still believes he will reach $5 next year and, in that case, he will invest even more in Portugal.”
Real estate is a relatively untapped market for crypto
Adam Redolfi, the Managing Partner at real estate firm Barnes International, said he’s seeing more property owners accepting cryptocurrency as payment these days.
What’s more, in the future, Redolfi predicts there will be greater integration between crypto and real estate and in ways beyond just payment.
“I predict that blockchain-integrated real estate will be implemented on a whole new level beyond payments in a digital currency.”
Specifically, he mentions the role of simplifying data transmission and reducing inefficiencies at every stage of the sales process.
“We can consider blockchain a tool to visualize the status of properties and deeds, granting full access to the history of the property or land. It can be consulted at any time and without limit by banks, real estate agencies, buyers and sellers.”
Smart contracts also have a role to play. By replacing paper contracts, smart contracts can secure information and automate the transaction without the involvement of third parties.
Redolfi says this level of integration is still some way from being realized, but he thinks we’re already well on the way to getting there.