Bitcoin vs Real Estate - What is a Better Long-Term Investment?

Bitcoin vs Real Estate – What is a Better Long-Term Investment?

Following the negative initiated by a bear market, cryptocurrency prices had a price spike in recent weeks. The positive trend was a result of the appreciation in Bitcoin’s price, which continues to trade above 46,000 in a slow but steady recovery process.

Amid a scenario of uncertainty, many people are questioning the value of Bitcoin as a long-term investment, especially when compared with other assets that seem more stable and solid, such as real estate.

In this article, you have a full overview comparing the long-term performance of Bitcoin and real estate, so you can see that it might be a wise idea to buy a 6+ month call option for BTC on Bitlevex, FTX or similar platforms, in addition to holding BTC for the long term.

Real Estate vs Bitcoin – An Introduction

Despite the colossal differences between both types of assets, it’s possible to find similarities when you take a closer look at Bitcoin and real estate as investments.

While many people regard Bitcoin as a type of digital money, it’s more like digital gold, serving as a powerful hedging asset in scenarios involving inflation and devaluation of fiat currency.

Similarly, real estate investments have a similar role in most investors’ portfolios. Recently, the world was surprised with Bill Gates’ more than 242,000 acres of farmland with assets totaling more than $690M.

This situation demonstrates the point – indeed, Bill Gates is an all-digital, innovation-focused technology genius, but land is still a valuable asset – so valuable that Gates bought enough land to make himself the biggest private owner of farmland in the United States.

Real Estate Power – Why Do People Still Buy Land and Properties?

Historically, real estate is recognized as a solid investment, especially in terms of hedging and estate protection. The term real estate investment is really broad, as it may refer to several profitable activities.

In this sense, real estate investment may refer to real estate development, in which an individual or company buys properties to reform the buildings and put them back to the sale.

Many people also invest in real properties, so they buy a property and become landlords to receive monthly/annual rent from someone occupying the premises for a pre-set period.

Also, it is possible to move out from one property to another, rent a property for commercial purposes, buy and rent an apartment building, vacation home, or even Airbnbing a property.

Real Estate Investment Overview – Pros and Cons

In short, investing in real estate allows you to have a diversified portfolio. Furthermore, a property is a tangible investment, meaning it’s possible to make money with it and re-invest to reform it or to buy other properties.

Capable individuals with proper capacity and research can make money while investing in real estate, especially those who take advantage of tax incentives available in some geographical locations.

Nevertheless, it is crucial to note that there’s a lot of effort involved in real estate investing, including things like regular maintenance, reforms, and repairs. In the case of rental properties, landlords need to be concerned about utilities and administration.

Another point is that real estate does not have a high level of liquidity. In other words, selling a property can take a long time depending on the situation, and the process of passing a property forward involves a lot of money (e.g., fees, legal assistance, etc.).

Why Bitcoin is a Powerful Hedging Asset

When compared to real estate investment, Bitcoin has several advantages – both in terms of liquidity, security, maintenance, and appreciation. First, Bitcoin will never be a victim of inflation, as there is a pre-determined supply limited by the Bitcoin network.

Currently, Bitcoin’s circulating supply is around 18,780,000 BTC. Considering Bitcoin has the potential to stay at the top as the world’s most valuable crypto asset, the value per coin will increase exponentially in the next few years.

Due to blockchain technology, it’s impossible to fraud or counterfeit Bitcoin. If you store your Bitcoins safely, it’s hard even trying to steal them. Buying or selling a BTC is easy, especially with the rise of exchanges like Binance.

Holding Bitcoin does not require a lot of effort, as you can store it on a safe wallet and just wait for years until you decide to withdraw it.

Ultimately, an honest comparison between the advantages of holding Bitcoin or investing in real estate demonstrates that putting your hard-earned money into Bitcoin has better potential in the long term.


At the end of the day, the implications of blockchain technology are impressive, especially considering Bitcoin was the digital asset responsible for introducing this amazing innovation to the world.

Much more than a simple ledger, a blockchain is an immutable ledger, which means it’s impossible to alter or erase data once it was inserted there. The truth is that Bitcoin is much more than just digital money, which makes it much more profitable than real estate in the long term.