Bitcoin itself is already ‘real estate’ on the blockchain by quickly emerging as the first ‘digital property’ for an increasingly digital world.
Bitcoin is ‘The Most Interesting Property’
Forget real estate on-the-blockchain.” Bitcoin already is. In fact, it’s the “most interesting property in the world,” writes General Partner at Blockchain Capital, Spencer Bogart.
Looking closer, many similarities do exist between Bitcoin and real estate. Moreover, Bitcoin introduces some unique advantages that will surely come in handy in an increasingly digital world.
Bogarts explains that Bitcoin is a technology that “blurs the boundary” between personal property and real property because the distinction is arbitrary to begin with.
It’s Absolutely Scarce
First and foremost, Bitcoin is scarce just like physical property. But it’s unitization into a total of 21 million pieces or bitcoins plot of land fungible.
“Fortunately, there’s no need to compare the pieces: Every piece of this property is the same as every other piece — they’re fungible,” explains Bogart.
Additionally, Bitcoin’s scarcity is mathematically verifiable. In other words, Bitcoin’s scarcity is absolute. It’s even more absolute than physical territory that can be geologically formed over time, reclaimed, or colonized (in space) in the future etc.
What’s more, this scarcity will become even more palpable with time. Block reward halvings will continue reducing emission asymptotically until 2140. Meanwhile, over 75 percent of all bitcoin have already been mined. While over 4 million are now estimated to be lost.
You Don’t Need Guns or a Wall
Bitcoin introduces other unique attributes that weren’t possible before. Unlike physical real estate, it is both portable and borderless. It also doesn’t require walls or fences to secure.