Disclaimer: The textual content beneath is a press launch that was not written by Cryptonews.com.
It’s been fairly a wild journey within the crypto world lately. From the Terra Luna collapse to the Celsius withdrawal freeze to the margin name on Three Arrows Capital, the market has had a tough time.
A whole lot of crypto buyers are feeling the ache, and the outlook is decidedly pessimistic in the meanwhile. At LEND7, we perceive issues might seem hopeless, and we all know that many could also be questioning how they’ll make it by means of the crypto bear market.
Right here’s the excellent news: the way you deal with the crypto winter now can probably have a optimistic impression in your long-term funding returns. At LEND7, we’re right here to assist.
The LEND7 platform merges crypto and real estate, leveraging the ability of NFT expertise. This allows us to supply the advantages of one of many longest and best-performing asset courses in historical past (property) to crypto buyers.
On this article, we’ll discover how actual property funding platforms can presumably supply a protected haven in the course of the crypto winter. We’ll additionally talk about how LEND7 is providing a method for crypto buyers to seamlessly get began in actual property investing.
Inflation Is Raging, However Real Estate Usually Retains up with Inflation
One doesn’t have to be a monetary professional or have a diploma in economics to know that costs of client items have risen, and that incomes haven’t actually stored tempo. It’s all around the information, with main economies just like the United States experiencing the very best inflation for the reason that early Nineteen Eighties.
Whereas inflation does kill budgets, individuals are actually taking extra energetic appears at their funds and educating themselves (which is nice). Many are asking themselves, “The place can I put my cash so I don’t lose out to inflation?”
Enter actual property — an asset that traditionally does properly in instances of inflation.
In accordance with this article by Bloomberg, housing costs have a tendency to comply with inflation charges in the long run, particularly if we’re speaking about housing in massive cities the place there are extra financial alternatives and thus, demand for housing is larger there. And as client items get costlier, individuals would possibly shift their priorities to extra needed issues like housing, which may make the costs comply with inflation.
That is good for residence homeowners who want to promote later down the road and even for many who are actually shopping for and promoting later. That is additionally good for these trying to transfer into the nation, the place housing might stay inexpensive compared to town.
Thus, from an funding viewpoint, actual property stands out as the one asset class uniquely positioned to carry worth throughout this time of excessive inflation. For these trying to make it by means of the crypto winter and this inflationary interval, investing in actual property NFTs, which you are able to do on LEND7, could also be a fast and straightforward solution to entry the property sector with out having to money out your cash.
Real Estate Is One of many Solely Belongings Performing Properly in 2022
To reveal what we’ve simply stated, let’s have a look at the worldwide monetary and crypto market, and the way a lot they’ve fallen in 2022.
The S&P 500 is down 22% simply in 2022, and the worldwide inventory market has entered into a bear part. Many specialists consider shares can fall additional.
Crypto markets have carried out worse. In accordance with Coinmarketcap:
- Bitcoin was at USD 46.73K initially of the yr, and it’s now fallen down to almost USD 20K (as of the seventeenth of June). That’s greater than a 50% drop.
- Ethereum was USD 3,722 initially of the yr and now it’s round USD 1,100 (as of the seventeenth of June), which is greater than a 3x decline.
- BNB was USD 517 in early January and now could be about USD 210 — properly lower than half its worth to start out the yr.
- Cardano reached USD 1.60 in the midst of January and has now fallen to underneath USD 0.50 by mid-June.
General, the numbers appear worse for crypto than for abnormal shares.
In the meantime, actual property costs and exercise have risen tremendously in 2022 throughout many international locations. Globally, whole actual property investments are up 38% year-over-year (as of the tip of 2021). And personal buyers are growing their portfolio allocation to actual property, particularly throughout this time of excessive inflation and excessive volatility.
Many main markets are experiencing sturdy features this yr. As an illustration:
Throughout many international locations, actual property costs proceed to rise. Whereas increased rates of interest might gradual the tempo of development down, property stays top-of-the-line performing belongings of 2022.
LEND7 Gives Crypto Traders a Seamless Option to Transition to Real Estate Investing
To reap the advantages of the actual property market throughout this robust time in crypto, one would wish a big quantity of preliminary capital — one thing many don’t have. We’ve additionally talked about other issues dealing with those that want to enter the actual property market, comparable to gradual transaction instances and potential misuse of information.
This is the reason we constructed LEND7.
LEND7 joins the decentralized and crowdfunding nature of crypto with the soundness of the actual property market. Extra particularly, since normally the best hurdle for a person to get into actual property is commonly cash, by tokenizing actual property, LEND7 allows one to get into the market with out heavy monetary calls for. You’ll be able to spend money on a fractionalized method (i.e. you’ll be able to personal a portion of a apartment complicated, home, constructing, and so on).
For instance, on the LEND7 platform, you could possibly make investments USD 100 value of tokens, USD 1,000 value of tokens, or USD 10,000 value of tokens into a actual property undertaking. It’s as much as your funds. The purpose is that this: Anyone can entry the LEND7 platform and probably profit from actual property investing. And for those who’re already in crypto, investing on the LEND7 platform is as straightforward as swapping your tokens.
Furthermore, the LEND7 platform makes all the things quite simple. Leveraging the power of NFT technology, the platform allows anybody to spend money on actual property inside moments. Subsequently, our platform gives comfort, flexibility and effectivity that you simply simply don’t get with conventional strategies of property funding.
The founding group behind LEND7 includes actual property and blockchain specialists with intensive backgrounds in FinTech and confirmed expertise in profitable crowdfunding undertaking kickoffs.
LEND7 is constructing a world community for actual property investing and fundraising pushed by the Cardano blockchain, combining pioneering applied sciences to offer unparalleled safety and sustainability for the undertaking.
Finally, LEND7 goals to turn out to be a full ecosystem for the tokenized actual property trade, bringing full transparency and liquidity to actual property and cryptocurrency communities.