Contact

News & Insights

Canary Islands Villa, Yours for 525 Bitcoins

But Bitcoin is not the only cryptocurrency available, it is just the most widely used. Ethereum, Ripple and Litecoin and are some of the other digital currency offerings. And whereas critics of cryptocurrencies have Buffet onside, advocates can point to Bill Gates as a fan because he believes they represent the future.

Cryptohomes, which is behind the luxury villa sale, certainly believe in Bitcoin.

“Since our launch of CryptoHomes.io we have attracted a satisfying amount of attention from across the globe,” said a spokesperson for the firm.

“Both from potential buyers and from homeowners and real estate agencies interested in listing luxury properties on our site.”

Whatever the case, sales like this demonstrate that Bitcoin is increasingly viewed as a legitimate currency, although regulatory threats, dramatically fluctuating prices and general uncertainty make them something of a grey area as well as a real headache-inducing conundrum for expat financial advisers, not just in the Canary Islands but right across the world.

It is only recently (10 October) that the IMF warned rapid growth of cryptocurrencies could lead to “new vulnerabilities in the international financial system”. But the organisation was not only warning of volatility – Bitcoin’s price moved from $1,000 at the start of 2017 to almost $20,000 in December of the same year (it currently trades at around $6,500) – but also of the cybersecurity concerns.

“Cybersecurity breaches and cyber attacks on critical financial infrastructure represent an additional source of risk because they could undermine cross-border payment systems and disrupt the flow of goods and services,” warned the IMF in October’s World Economic Outlook report. “Continued rapid growth of crypto assets could create new vulnerabilities in the international financial system,”

Blacktower, expat financial advisers in the Canary Islands

Markets, currencies and economic systems evolve, change and are subject to volatility. Effective financial planning and wealth management is about putting plans in place to weather storms and make the most of opportunities. For some investors cryptocurrencies will form a legitimate part of this, for others, there may be too much risk involved.

Blacktower expat financial advisers in the Canary Islands can help you develop a strategy that aligns with your goals and investment personality. Talk to us today for more information.

This communication is for informational purposes only and is not intended to constitute, and should not be construed as, investment advice, investment recommendations or investment research. You should seek advice from a professional adviser before embarking on any financial planning activity. Whilst every effort has been made to ensure the information contained in this communication is correct, we are not responsible for any errors or omissions.

Other News

Go Dutch?

French FlagBritish expats in the Netherlands are experiencing a difficult time at the moment. Not only do they have to deal with continued uncertainties over Brexit as well as government plans to overhaul the 30% expat tax break, they are also now having to digest news that the Dutch government is readying itself to publish new legislation regarding dual nationality.

However, early news suggests that developments on this final matter could prove to be rather more encouraging – albeit with a number of qualifications – with initial statements indicating that preparations are being made to reduce some of the restrictions on dual-nationality in the Netherlands.

As it stands, expats who wish to remain in the Netherlands and embrace Dutch citizenship are, in the majority of cases, obliged to renounce their nationality of origin. The choice is stark and onerous: go Dutch or stay as you are. This, of course, will prompt a number of British and Netherlands wealth management considerations and must be considered very carefully.

Read More

Make Sure You Receive Financial Advice Before Investing in a Tourism Property

House on a Spanish hillsideIf you are serious about receiving the best financial advice in Spain, chances are any adviser you choose will recommend that, in the absence of a committed property investment strategy, you do not invest too heavily in Spanish real estate.

However, for the enthusiastic expat who has recently fallen in love with the country and the idea of owning a small piece, or perhaps a larger chunk, of its picturesque and romantic charms, it can be hard to resist.

But the truth is that there is often a reason why a property might be going at a bargain basement rate. For example, investment in whole abandoned villages in isolated locations such as Aragón and Galicia has recently become something of a phenomenon, when the reality is that the outlay, which can be under €100,000, will buy you little more than a dilapidated shell without water, gas, electricity, telephone or internet services. So, making your bargain purchase habitable in these circumstances is likely to cost at least ten times as much the initial purchase price.

Read More

Select your country

Please select your country of residence so we can provide you with the most relevant information: