Sixteen percent of Spaniards own cryptocurrencies, and over the past year the number has climbed by four percentage points. This volatile market continues to shake up the country, yet Spain is not steering the global surge in crypto adoption. Still, it is clear that Spain leads the world in another area: homes that can be bought with digital currencies, including Bitcoin and popular altcoins like Ethereum, Litecoin, Ripple and Tether.
Recent findings from Forex Advice show that 289 properties in Spain can be purchased with cryptocurrencies. The top three globally are Thailand with 227 properties and Portugal with 130, though neighboring Portugal has a more favorable crypto-friendly regulatory climate.
So why does Spain hold sway in both real estate and cryptocurrency markets? The concentration is strongest in communities with a robust crypto culture. The most affected areas include the Valencian Community and the province of Alicante, Andalusia around Malaga, and Catalonia with Barcelona leading.
These three regions host the most popular destinations for foreigners who treat real estate as a second home and are deeply engaged with cryptocurrency trading.
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real estate token
In the present economic climate, inflation makes real estate investment in Spain stand out as a safeguard for capital. Yet most crypto-priced homes are luxury villas and mansions, often priced around 75 bitcoins, which equates to nearly two million euros at current rates.
To broaden access, tokenizing properties is gaining traction as an emerging market. Carla Castello, head of operations at Reental.co, notes the milestone of selling the first tokenized home in Spain in February 2021.
What does tokenization entail? A property is acquired in euros and then digitized so each token represents a fraction of the asset, with all records secured on blockchain. This approach lets investors build and diversify a real estate portfolio, with a minimum contribution of 100 euros, according to Castello, whose firm has tokenized more than five million euros in two years.
When a property sale is arranged, the loan process often clears within hours, sometimes minutes. By buying a token, an investor gains a share of the property’s economic rights; a 10% stake, for example, yields the corresponding share of rental income or sale proceeds. Returns are not guaranteed, but all projects receive approval from the National Securities Market Commission (CNMV).
This innovative alternative to traditional finance offers more flexibility and control for users. If an investor wants to exit, they can sell tokens to a third party or swap them for a stablecoin in a liquidity pool.
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forced conversion
The big question about buying a house with crypto is price stability. Crypto values can swing sharply in minutes, so the key is deciding the day of the transaction. When both parties agree and comply with the law, the buyer can transfer the crypto value from their wallet to an exchange, and the seller receives euros. Like any financial deal, tax reporting is required.
Because formal regulation is still developing and taxation is high, some debate whether a crypto purchase should be treated as an exchange rather than a sale, since value is exchanged from cryptocurrency to fiat money.
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Jesús Ros, general secretary of the Association of Real Estate Developers in the Valencian Community, notes that deeds must be priced in a central currency and completed in a fixed amount. He argues that while some transactions use Bitcoin as a payment method, it remains largely experimental and not a mainstream practice; still, a handful of transactions are recorded each year in Alicante.
Blockchain technology could streamline cross-border payments for real estate in Spain, reducing fees and speeding up transfers, especially if regulatory frameworks advance.
Within Spain, agencies like Spain Houses, with offices in Orihuela Costa and Benalmádena, and Crypto Real Estate are pushing this international market by partnering with regional advisers to guide interested buyers.
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First National Congress
Alicante will host on April 21 a detailed discussion on blockchain in real estate. The First National Congress on Blockchain Technology in the Real Estate Industry will welcome agencies, construction firms, promoters, legal and tax advisers, and crypto mutual funds.
The head of a prominent Alicante property group notes strong demand from foreign investors who want to use cryptocurrencies for purchases in Spain, particularly in Alicante, Malaga and Madrid, though there is a shortage of available homes. The congress will feature a notary among the 23 speakers, and a representative of a Qatari investment fund is expected to attend. Cesar Belda of Noken Digital Assets in Valencia will shed more light on notarial procedures for crypto-based property transactions, addressing many doubts and emphasizing legal benefits.
As is common, society often moves faster than the law, and investors are increasingly engaging in crypto transactions. In Spain, not every opportunity in real estate has been exploited yet.
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Portuguese example
Last April, Portugal’s socialist government created a regulatory framework enabling the first European home sale using Bitcoin without euros. By year-end, about a dozen similar transactions were completed under legal classifications of barter agreements. However, seven titles failed to meet Portuguese rules and required verification of money sources, wallet addresses, and participant identities.
Bitcoin houses exist, but not with bypassed compliance.