Homebuyer Makes $1.3M Profit Using Bitcoin – NMP Skip to main content

Homebuyer Makes $1.3M Profit Using Bitcoin

Phil Hall
Jan 31, 2017
Now here is something that you don’t see every day: A homebuyer making a seven-digit profit by purchasing a residential property

Now here is something that you don’t see every day: A homebuyer making a seven-digit profit by purchasing a residential property.
 
According to a report in The Coin Telegraph, an individual seeking to purchase a $4 million residence in California contacted BitPay, an Atlanta-based Bitcoin payment service, to coordinate the transaction entirely in Bitcoin. The buyer secured $4 million in Bitcoin at a time when the digital currency was worth approximately $750 on the global Bitcoin exchange market.
 
But at the time the buyer initiated the final payment, Bitcoin’s value skyrocketed to $1,160—an increase that was fueled, in large part, by the devaluation of the Chinese yuan and the December rate hike by the Federal Reserve. Thus, the buyer—who was not publicly identified—wound up with a $1.3 million profit in the currency exchange rate.
 
“The buyer actually ended up making about 25 percent in the currency exchange rate, essentially, in the appreciation,” said Sonny Singh, chief commercial officer at BitPay. “He got a house for pretty much 25 percent cheaper.”
Published
Jan 31, 2017
More from
Tech
Servion Taps Sagent For Consumer-First Servicing Tech Stack

A 7-year deal between Servion Mortgage and Sagent will equip Servion with Sagent's tech stack for performing, non-performing, and consumer experience.

Tech
Nov 29, 2021
OptiFunder Secures $25 Million In Capital

OptiFunder, a warehouse management system provider for mortgage originators, raised $25 million in additional capital lead by Arthur Ventures, a growth capital firm focused on high-growth, founder-led and capital efficient B2B software companies.

Tech
Nov 23, 2021
Guaranteed Rate Adds New Chief Product And Technology Officer

Guaranteed Rate named Dr. Ramesh Sarukkai as the company’s new chief product and technology officer.

Industry News
Nov 22, 2021
Fintech Mortgage Proven To Reduce Racial Bias In Lending

Technology-based Fintech mortgage may be the answer to reducing, and ultimately eliminating, racial bias and discrimination in lending.

Analysis and Data
Nov 19, 2021
nCino To Acquire SimpleNexus

Cloud banking and digital transformation solutions company, nCino Inc., signed a definitive agreement to acquire SimpleNexus in a stock and cash transaction valued at an estimated $1.2 billion.

Tech
Nov 19, 2021
Guaranty Home Mortgage Partners With Paradatec For Doc Automation

Guaranty Home Mortgage Corporation selected Paradatec's AI-Cloud for document processing and indexing.

Tech
Nov 16, 2021