Watch: Will the crypto buyer pool melt down with FTX?

Crypto-rich had become prominent purchasers in Miami, LA

Miami /
Nov.November 23, 2022 02:30 PM

Miami developers and brokers went all-out to court buyers who made their fortunes in cryptocurrency. At the E11even Hotel & Residences Miami, for example, half of the buyers at the project’s second tower came from the crypto world.

But in the wake of the spectacular collapse of Sam Bankman-Fried’s FTX, how will the real estate industry respond?

TRD‘s Hiten Samtani talked to Katherine Kallergis about her reporting on how the sudden implosion of the second-largest cryptocurrency exchange and the broader fallout in the crypto world could put a chill on buyers who made their wealth in crypto.

“Because it’s under construction, these buyers are making payments through FTX that are scheduled,” Kallergis said of the E11even, which is being developed by Property Markets Group. “So what happens now?”

Samtani and Kallergis discuss whether South Florida has a particular talent for attracting money from unconventional sources, whether it be the crypto world, or South American buyers who made their riches in illicit ways.

“Shady foreign investment is a much bigger percentage of wealth here than crypto is,” Kallergis said.

Watch the above video for the full conversation.


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