Maybe you never thought that buying cars with cryptocurrency was even a thing. But luxury and sports vehicles have a unique place in the hearts of many crypto enthusiasts. Find out today what cars are most favored and which dealerships offer a bitcoin option to pay.
We can all agree that cryptocurrency’s presence as an option to purchase services and goods has escalated. In recent years, we have seen more businesses giving customers the alternative of buying their products with digital currency. Some that accept cryptocurrency include Wikipedia, Microsoft, ExpressVPN, and Twitch. There are even several food chains in certain places in the world that accept it. These include such chains as a Burger King in Venezuela and various Subway branches.
Open-source encyclopedias and food services are one thing, but what about extravagant items such as second homes? And what about buying cars with cryptocurrency?
This question ties into a longstanding debate pertaining to what exactly we are able to purchase with cryptocurrencies. Sure, we have standard services like the ones mentioned above, but to a lot of people, those are not “luxurious.” Is it possible for owners of digital currency like Bitcoin to buy expensive things?
From “pizza” to buying cars with cryptocurrency
It is evident that we have come a long way since the Bitcoin pizza incident of 2010. This was when a man named Laszlo Hanyecz ordered two pizzas from Papa John’s for 10,000 BTC. Hanyecz’s admirable transaction led to him writing a post on the bitcointalk forum:
“You can make the pizza yourself and bring it to my house or order it for me from a delivery place, but what I’m aiming for is getting food delivered in exchange for bitcoins where I don’t have to order or prepare it myself, kind of like ordering a ‘breakfast platter’ at a hotel or something, they just bring you something to eat and you’re happy!”
Generally speaking, it shows how much progress has been made during this decade. This is especially true when you notice just how much you would pay for those same two pizzas with Bitcoin prices today.
With the continuous increase in the value of Bitcoin over the years, early adopters in possession of substantial sums of the cryptocurrency had an advantage. With these holdings, they were the owners of an excessive amount of wealth. There are some that may sell their bitcoin, while others instead adopt the ‘hodl’ (“hold on for dear life”) mindset. Regardless of what direction they take, the popularity of cryptocurrencies would only continue to increase. People are now open to selling real-world assets such as cars and even islands if they are wealthy enough.
So, as a short answer, yes, it is possible for to buy cars with cryptocurrency. That is, as long as you can find a car seller that is accepting of cryptocurrency as a payment option.
Lamborghini: a cult icon
Almost every crypto enthusiast is likely familiar with the phrase “When Lambo.” The reason for this being that the luxury vehicle is now something of a symbol for crypto billionaires. Specifically, billionaires who have bought a Lamborghini with their crypto-wealth.
While this particular car may be the objective, people are able to purchase an array of vehicles. These range from affordable hatchbacks to luxury sports cars, all with cryptocurrency as a method of payment.
Japanese luxury car dealership, L’Operaio, now accepts Bitcoin as a payment method by way of cryptocurrency exchange, BitFlyer. According to the company, customers can now effortlessly pay for their next potential vehicle in a matter of minutes. Overall, this certainly surpasses conventional means of purchasing a vehicle, like acquiring financing through a bank.
True, this dealership is partaking in a brand new model of payment. However, it’s not the only one, nor is it the first time people are able to purchase cars with crypto. Back in December of 2017, a Manchester car owner listed a gold Rolls Royce vehicle on Autotrader. Anyone could purchase it, but only with bitcoin. On this method of payment, the car owner says:
“Why not trade in Bitcoin? I treat it in exactly the same way as normal currency these days. It’s safe, convenient and incredibly valuable right now so, to me, it makes sense to trade my car this way. It’s the future.”
American dealership, Post Oak Motor Cars, encourages buying cars with cryptocurrency by accepting it as a mode of payment. The Rolls-Royce, Bentley, and Bugatti dealership are now accepting both Bitcoin and Bitcoin Cash from their clientele. Billionaire, Tilman Fertitta, owns this company and it provides customers with this facility all over the world.
A couple of years ago, a man by the name of Peter Saddington went to MotorCars of Georgia. He did not appear to be a wealthy customer; just an average individual in his mid-30s. However, he caught the dealership’s attention – as well as the Internet’s – by cashing in 45 bitcoins. What did he get out of this? A 2015 Lamborghini Huracan worth $200,000.
As unbelievable as it may seem, Saddington was able to successfully carry out this transaction. This was courtesy of an early interest in cryptocurrencies. Purchasing those 45 bitcoin cost Saddington less than $115. The purchase of this Lamborghini was not necessarily a crazy bargain. Rather, it is indicative of a trend of the “new rich” spending their crypto-wealth on luxurious cars; particularly, Lamborghini’s.
Saddington was a student at Florida State studying computer science. Ultimately, he would earn three master’s degrees in counseling, education, and theology from Luther Rice College & Seminary. His first discovery of Bitcoin was in 2011 and in November of that year, he would start investing. At the time, a single bitcoin’s cost was $2.52.
He refuses to disclose just how many coins he is currently the owner of. However, at that point in time, he bought over 1,000 bitcoin. When Bitcoin was at its peak in December of 2017, there was a brief period in which the coins were each worth $19,000. Since that time, Bitcoin would gradually fall to trade near $8,100. Nevertheless, if Saddington is still holding his original $2.52 coins, then that is still a return of roughly 321,000%.
According to Saddington, who buys bitcoin almost every Friday:
“I am a long term HODLER, or holder, of bitcoins. I’ve been holding it since 2011 as much as I can.”
There are a lot of car enthusiasts who would love to be the owner of a Bugatti, Lamborghini or Ferrari. For a majority of these people, owning these cars is nothing more than a dream. One that is too far beyond their financial reach to make it a reality. However, the blockchain-based platform, Bitcar, intends on making some changes. They aim to modify ownership of luxurious vehicles by simply making them accessible to everyone.
Following its initiation in 2015, Bitcar provides fractional ownership of exotic cars to investors via its platform. Acquiring luxury cars is done so through the company and then they are put into storage for roughly 15 years. Alternatively, they are put on display for that same amount of time. While in storage or on display, they increase in value; a stark contrast to ordinary vehicles. Following this, the cars will be tokenized with investors that purchase Bitcar tokens being able to swap them for car tokens. Doing this will grant them ownership of a fraction of the vehicle of their choice. So now, more people will have the opportunity to buy cars with cryptocurrency.
The company had an ICO go live near the end of January of 2018. Beforehand, it was on a global tour with the intent of raising over $20 million USD in the ICO.
The core idea behind Bitcar’s intent is to connect owners of rare vehicles to potential buyers or investors. With this in mind, it is entirely subjective as to where you choose to stand. What’s more, if you decide to participate in the market for collectible exotic vehicles. With its live auction platform, you are able to trade your way to full ownership of whatever vehicle you desire.
Make and Model
Buying cars with cryptocurrency is no longer outside the realm of implausibility. If you are a crypto millionaire – or at the very least if you have enough crypto – then you may want something luxurious. There are plenty of models out there to choose from that go beyond a Lamborghini.
Crypto Emporium offers a section of their website dedicated to purchasing various types of cars and motorbikes with cryptocurrency. Each model illustrates the price pertaining to an array of different digital currencies. They have Bitcoin, of course, but they also have Litecoin, Ethereum, Ripple (XRP), Verge (XVG), DASH, and Decred (DCR). This way, you can see what the price of the vehicle will be depending on the crypto you are paying with.
Car models available on this platform include Porsches, Hondas, Fords, Ferraris, Volkswagens, and Bentleys, among many others. The cost of a Lamborghini ranges between 23 and 50 in Bitcoin. Moreover, something as luxurious as a Ferrari costs between 35 and 55 in Bitcoin. A Porsche ranges between a little less than 10 and 20 in Bitcoin. A Ford is also comparatively cheaper, costing roughly 5 in Bitcoin (based on current Bitcoin prices).