Someone offered crypto for your house. Here's how that actually works. (You get dollars.)

In almost every crypto-funded purchase, you — the seller — receive US dollars through escrow, exactly as if the buyer had sold stock to fund the deal. The buyer's crypto converts to USD before or at closing; your side is a standard cash closing. The rare exception, where you literally receive cryptocurrency for the deed, is a different arrangement with real tax consequences — and it only happens if you explicitly agree to it.

The two models, and which one you're in

Model 1 — the buyer converts (nearly all deals): the crypto becomes dollars on the buyer's side, escrow receives a standard wire of good funds, and you're paid USD. You need no wallet, no exchange account, and no crypto knowledge. Model 2 — you actually accept crypto (rare): you receive the asset itself, which is a taxable barter-style exchange with volatility risk on your side. Nobody can put you in Model 2 without your consent — and you can always counter a Model 2 offer with "convert it and wire dollars."

Key Points

  • Default model: buyer converts, escrow wires you dollars — a normal cash sale
  • Your crypto expertise required: none
  • Accepting actual crypto: optional, rare, and a taxable event with volatility risk — get tax advice first
  • Any crypto offer can be countered with "dollars at closing"

Follow the money

The buyer's crypto is converted to USD — properly done, through a documented conversion wired directly to escrow. Escrow holds good funds before closing, title runs its standard process, and disbursement to you is an ordinary wire. The escrow-and-title mechanics are laid out in the closing process explainer — the short version is that by the time the deal reaches your side of the table, the crypto is gone and only dollars remain.

How to vet the offer

Ask for a verifiable proof of funds — the crypto equivalent of the bank letter you'd want from any cash buyer. Done properly, it shows cryptographically verified ownership, a volatility-adjusted USD value, and a document ID you can check with the issuer yourself. Note that verification happens where the buyer's funds sit — a serious buyer never needs to move coins anywhere to prove they're real, so "the funds are in cold storage" is fine. "Here's a screenshot" is not.

If you have a listing agent, hand them the agent-side version of this page: your buyer wants to pay with bitcoin — the 10-minute guide.

If they truly want to pay you in crypto

You can simply say no and keep the deal — "convert it and wire dollars" is a reasonable counter that any serious buyer can accommodate. If you're actually tempted to take the crypto (some sellers are), that's a legitimate but very different transaction: you're acquiring a volatile asset at the moment of a major sale, with tax treatment to match. The full seller-side treatment, including that scenario, is in sell your house for crypto.

Been handed a proof of funds? Verify the document

Frequently asked questions