The concept of buying new wheels using crypto has been around for quite long now. Earlier, there were some doubts about this currency, and entrepreneurs were hesitant to leap. However, the efficiency proven by digital currencies has compelled many to cut it some slack. They have realized it is a blessing in disguise, so they have to get their act together and adopt.
The automotive industry is under the high impact of cryptocurrencies. Wheel freaks who could not access their dream cars due to physical barriers can now get those with digital money.
The initial phase of crypto
Historically, when someone wanted to use their virtual money to purchase a physical asset like a car, they had to cash the crypto through a traditional regulated exchange. This process levied extra charges, making the whole process more costly than it should be.
Transfer charges also incurred during the exchange, deeming it less tempting for the users.
Once the cryptocurrency has changed into the local currency, it goes into the system. It is income that must be declared to the HMRC. It is a legal requirement that you cannot skip.
Gradually, the crypto holders can transfer coins directly. The idea of moving digital currencies without the involvement of central authorities took the corporate world by storm. This domain has become highly immune to interference or manipulation by the central government.
According to Block Social, Cryptocurrency exchanges around the globe have exceeded 300 as of 2020. This makes it all the more viable to buy cars using crypto.
Find a car dealer who accepts virtual money
Finding a car dealer who accepts cryptocurrency was an uphill battle before. With time, the automotive tycoons have come to terms with this transition.
Georgia car dealership Christopher Basha was way ahead of Elon Musk in embracing Bitcoin as a currency for selling cars. He accepted Bitcoins in 2015, but no customers showed interest. It was in 2017 when the mindset began to change.
You can also buy car online from Autocoincars, offering new and used cars for sale via crypto. Buyers have realized that using traditional car-selling outlets could be a hassle. They have shifted to the digital landscape, and so far, it has worked out in their favor.
Dealers believe accepting cryptocurrency is a good marketing and branding tool. Nonetheless, it is still a niche business. The absence of trusted banks and price volatility has made Bitcoin payments a risk for dealers who aren’t tech-savvy.
Stages after you spot the right portal
There is no need to stress out or doubt once you have found the portal selling cars via crypto. All you need is to know how the whole process works.
The following steps will illustrate the process for you, showing buying cars with cryptocurrency is as easy as the other methods (or even more):
- Step One: Check your digital wallet to ensure you have tokens accepted by the dealership.
- Step Two: Search the platform to find the car you want, either used or new.
- Step Three: Contact and confirm with the dealer if they will accept your offer. You can negotiate with them like the usual way.
- Step Four: Now, you have to open your wallet, choose the agreed token type, and scan the QR code. You have to enter the amount manually for payment and password to confirm the transfer.
- Step Five: The dealer will convert cryptocurrency to the local cash or keep it in their wallet.
The buyer now has permission to collect the car they have bought.
Why should you buy cars with crypto?
Cryptocurrencies appeal to car buyers and sellers alike. Some of the popular reasons for its widespread acceptance include:
Currency of the future
Supporters think crypto is the money of the future. They are racing to invest and reap the rewards from it before it becomes unaffordable.
Peter Saddington, a 35-year-old computer programmer, is a prime example of initial investors. After investing in Bitcoin years ago, Saddington purchased Lamborghini Huracan, valued at $200 000. He bought it for 45 Bitcoins, which were a mere $115 when he bought them!
Removes central banks
One of the main reasons for its vast acceptance is the lack of middle parties. Dealers and buyers interact with each other without fretting over their charges to pay to the bank. Over time, banks can reduce the value of money by inflation.
Secure funds transfer
Blockchain brings a decentralized process for crypto users. Its transparency and an entire recording system make the whole process much more affordable and secure.
Some speculators like cryptocurrency because of its increasing value. They are not interested in the long-term interest of the currency as a way to move the money.
Cryptocurrency has slowly penetrated the automotive sector. With industry sharks like Tesla and BMW accepting this currency, we can safely state it has a great future ahead. As per News Logical, Bitcoin accounts for $6 billion of daily online transactions.
Forbes also validates its increasing popularity. Its research reports that Blockchain technology can save financial organizations up to $12 billion per year.
Such figures are making it increasingly essential for people to invest in cryptocurrencies. The automotive industry is the field that has taken the first step. Dealerships and buyers using crypto speak highly of this method. We suggest you buy a bunch of well-performing crypto coins now. Who knows you might be driving Electric Mercedez EQS the next year?
Cryptocurrency is a stellar and volatile purchase. If you are a car geek who wants to get a bang for a buck, you should consider buying some cryptos. They could help you to buy your dream car in the future when the value of the coin takes a hike. We hope our blog has cleared the fuzz around buying cars using crypto. Feel free to share your concerns in this regard. We would love to help you!