Grant Cardone’s Innovative Take on Real Estate and Bitcoin
Real estate mogul Grant Cardone believes that while the concept of Bitcoin may remain opaque to some, the value of physical assets like apartment buildings is universally understood. Recently speaking in Las Vegas, Cardone shared insights into his innovative approach of merging Bitcoin with real estate investments aimed at those who are unfamiliar with cryptocurrency. His firm, Cardone Capital, manages a substantial portfolio comprising $5 billion in assets.
Tangible Benefits of Real Estate
Cardone highlighted the tangible benefits of real estate, stating,
“You interact with it daily – you live in it, you rent it, and you drive past it. Many have profited from these investments.”
He noted that integrating Bitcoin into real estate could slightly impact cash flow but ultimately allows tenants to potentially contribute to the investor’s Bitcoin portfolio.
The 10X Miami River Bitcoin Fund
Cardone has launched the 10X Miami River Bitcoin Fund, anchored by a 346-unit residential property located along the scenic Miami River. This fund sets aside monthly revenues for strategic Bitcoin acquisitions, further blending traditional real estate’s stability with the volatility of cryptocurrency. This fund marks Cardone’s fourth venture that fuses real estate—a time-honored investment strategy—with Bitcoin, a more recent and unpredictable asset known for its high potential returns.
Future Plans and Industry Insights
Looking ahead, Cardone intends to enable tenants at another property in Fort Lauderdale to invest in Bitcoin as well. He humorously referred to industry colleagues, like Michael Saylor of MicroStrategy, who may argue that real estate carries its own risks, mentioning,
“The best Bitcoin you’ll ever have is the one that someone else gives you.”
In a landscape where corporate entities like MicroStrategy are accumulating Bitcoin as an asset through debt instruments, Cardone differentiates his investment strategy by emphasizing the inherent stability found in real estate alongside the unpredictable nature of Bitcoin.
“We blend cash-flowing assets with non-cash-flowing ones, stabilizing our approach by merging these different investment forms within one offering,”
he explained.
Investment Restrictions and Competitive Advantage
Access to the 10X Miami River Bitcoin Fund is restricted to accredited investors, specifically those with annual incomes exceeding $200,000. Cardone also expressed his ambition to develop mortgage products that uniquely combine Bitcoin and real estate investments.
Unlike larger firms such as Blackstone, Cardone believes many real estate investors are impeded by bureaucracy, which hinders their ability to quickly adapt to the evolving landscape of cryptocurrency. He feels confident that this gives his firm a significant advantage, stating,
“I have a three or four year lead over them as they struggle to catch up to what I’m doing.”
