The crypto sector is growing continuously although the market prices are yet to fully reciprocate this growth. The latest reports have revealed that Huobi cryptocurrency exchange has already partnered with a real estate firm operating in the United Arab Emirates (UAE). It is believed that the new alliance will enable real estate investors in the region to pay in cryptocurrencies.
Huobi, the Singapore-based crypto exchange, has joined hands with a tech-driven real estate agency, fäm Properties. The firm is based in Dubai. The two companies aim to provide crypto payment options for the real estate investors as reported on January 12 by AMEinfo.com.
Crypto to enhance stability and liquidity in real estate
The new partnership specifically enables fäm Properties to accept payment in cryptos. Some of the tokens that the company will accept include Ether, Bitcoin, XRP, and all other major cryptos. The company will also accept stablecoins. This cooperation aims to enhance stability and liquidity in the UAE real estate market.
Additionally, the new venture will ease investing processes in the UAE and provide the market with more value. The CEO of fäm Properties, Feras Al Msaddi, said:
“This partnership will provide our clients with immense opportunity and the ease of investing in prime locations in the UAE. Cryptocurrencies are becoming an increasingly popular payment method all over the world, and this added choice will increase our property transactions and bring more value to the real estate market here.”
The real estate company was contacted for comment to learn about its strategies to tackle the volatility that comes with crypto markets but it has not yet responded.
Huobi to change crypto into fiat
The crypto exchange will strive to guarantee that fäm’s clients’ transactions are legally compliant. It is licensed by Dubai Multi Commodities Centre (DMCC) to operate in the UAE. DMCC is a network provider for expanding commodities trading in Dubai.
The co-founder of Huobi OTC at DMCC, Mohit Davar, said that the firm will offer fäm with liquidity and necessary resources to enable virtual money payments for customers. While speaking with Middle East-focused publication Zawya.com, Mohit said that the exchange will support transactions from crypto to fiat:
“If someone wants to buy a property and use crypto as a payment currency, then we will help facilitate that transaction and sell their cryptocurrency and make the payment to fäm in fiat currency.”
Huobi’s OTC desk supports several fiat currencies that include Euros, UAE dirhams, British Pounds, and United States dollars. In the meantime, the real estate market in the United Arab Emirates has been relentlessly embracing various emerging technologies. It has embraced blockchain and associated digital assets as Dubai aims to become a smart city.
In October last year, a Dubai-based real estate giant, Emaar Properties, unveiled its new blockchain token-based referral and loyalty platform. Emaar Properties has developed several mega projects in Dubai including the world’s tallest building, the Burj Khalifa. In the past, the company stated that it intends to launch a token and hold an initial coin offering in Europe.