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Investing in cryptocurrency or real estate: what an investor should know

Investments are one of the most popular ways to increase wealth. In the last few decades, the market of available investment instruments and the number of financial instruments available to non-professional financial market participants has grown significantly. It would not be an exaggeration to say that with the advent of cryptocurrencies, investments have received a “second breath”. Now cryptocurrencies occupy top positions in the list of investment instruments. In this article, we will compare investing in cryptocurrency and with real estate investments, which remain one of the main ways to generate income.

The main feature of the cryptocurrency market, which attracts and repels investors at the same time, is its high volatility. By investing in digital finance, you will either earn a lot of money or lose everything you spent on the purchase.

Halal investments FAQ.

Investing in cryptocurrency

From the point of view of Islam and Shariah, the volatility of cryptocurrencies can be regarded as impermanence, which has similar features to uncertainty, which is a negative element in fiqh muamalat (Islamic jurisprudence) and falls under the same category as “riba” (usury) and maysir (gambling). Islamic scholars often refer to Bitcoin as a fraudulent cryptocurrency with no intrinsic value. This is not money, at least at the moment, but simply a useless “security sold at an inflated price” and acquired by speculators driven by greed.

Investing in cryptocurrency: what one should know

Advantages of investing in cryptocurrencies

1. Easy entry
Investing in cryptocurrencies is a relatively simple process that does not require large expenses and extensive knowledge. Anyone can start investing with any available amount sufficient to purchase digital assets.

2. High liquidity
If investor urgently needs money, he can quickly sell the cryptocurrency.

3. Fixed issue
All cryptocurrencies has a limited number of coin issue, which, with potential demand, will lead to a price increase.

Unlike Bitcoin (BTC) or Ethereum (ETH), Islamic Coin (ISLM) is the first project and the first cryptocurrency to provide the community with powerful financial technology that allows for unhindered transactions, support innovation and charity. The project is 100% compliant with the rules of Sharia and brings real benefits. Developers focus on sustainable development and use technology and innovation to ensure financial sustainability.

“At the heart of Islamic finance is the prohibition on charging interest. Islamic finance has always been focused on not shifting most of the risks to one side of the financial relationship. In Islamic finance, balance and transparency of transactions should be observed, which can negatively affect our society,” says Mohammed AlKaff AlHashmi, one of the founders of IslamicCoin.

Islamic Coin targets 1.1 billion Muslims using the Internet. The project creates convenient tools designed for users who have never been owners of cryptocurrencies. The mission of the project is to provide the international community of followers of Islam with a reliable and promising financial instrument that allows for independent financial interaction, support innovation and philanthropy.

Using the power of the Muslim community, IsalmicCoin can become one of the most important and valuable crypto assets. If 3-4% of the Muslim online community own an Islamic coin, it will become a bitcoin-scale crypto asset, bringing its holders a trillion dollars and $100 billion for the Evergreen DAO.

Investing in cryptocurrency: what one should know

Real estate investments
Buying and selling real estate for the purpose of generating income is the complete opposite of cryptocurrencies. With this method of investing, there is a high probability that investors will eventually make a profit, and it is unlikely that the investment will be reduced to zero.

However, in the case of investing in construction or buying real estate, it should be understood that with such an investment, the entry threshold becomes much higher than when buying cryptocurrency. In addition, you need to study the market in more detail and make investments in accordance with the recommendations of experts who, as a rule, pursue their interests.

Advantages of investing in real estate

1. Confirmation of the value of tangible assets
When you invest in real estate, you can really look at your investments and “touch” them. Your money is right in front of you in the form of land or a physical structure such as an apartment building. It cannot be hacked, transferred to someone’s account, or simply disappear into thin air due to any failures in the computer system.

2. Inflation protection
Real estate provides protection against inflation, as rental rates usually rise along with the cost of housing. While inflation and the cost of living are also rising, real estate investors can usually maintain their lifestyle and savings with an appropriate income.

3. Tax benefits
In many countries, real estate investors are entitled to many tax deductions. They relate to insurance, commissions, utilities, taxes, depreciation and repairs.
However, the volatility of cryptocurrencies, as a negative factor, is “compensated” in real estate by no less high risks of capital loss if construction is abandoned or long construction periods. In the case of ready-made objects, these risks are noticeably reduced, but the amount of funds that you will have to spend on purchasing or renting real estate also increases.

Cryptocurrencies or real estate: what to choose?

Investing is primarily a responsible approach to how you want to dispose of your money. When choosing a method of investing funds, you should take into account many factors and focus on your own capabilities.

Real estate continues to be a good way to increase capital, but at the same time, much more knowledge is required from the investor to make a decision. Cryptocurrencies are the “youngest”, but also one of the easiest ways of investing available to everyone.

Investing in cryptocurrency: what one should know

IslamicCoin is a digital currency conforming to the norms of Islam and Shariah, functioning in its own blockchain Haqq, which means “Truth”. Already at the stage of closed sales, IslamicCoin aroused huge investor interest and was able to raise more than $ 200 million in just a few weeks. Unlike technically outdated Bitcoin and Ether, which have a lot of problems, IslamicCoin uses the full power of the most progressive blockchain technologies and is based on the most fair and reliable ideology and rules of conduct.

The value of cryptocurrency is an important factor in its success and investment attractiveness, but IslamicCoin is not only a means of making a profit, but also an ethical ideology based on the principles of Islamic finance and confirmed by a Fatwa received from leading Islamic experts and theorists of Islam.

Successful investors choose ideologies, technologies and prospects based on something more than minor fluctuations in price charts. For almost 20 years of the existence of a new type of digital money, cryptocurrencies have not brought a drop of real value into this world, have not made people free, independent and happy. And this means that it’s time for a new type of finance based on responsible choices and new values!

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