Grant Cardone’s Wild Real Estate-Bitcoin Fund 😱🚀💰

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What to know:

  • Grant Cardone’s new $88 million fund combines real estate and bitcoin 🏢💰
  • Cash flow from properties buys more bitcoin, making it rain 🌧️💰
  • Cardone plans to launch 10 more funds before June, because why not? 📈🚀

Grant Cardone, the man behind Cardone Capital, which manages a whopping $5 billion in real estate, has cooked up a new scheme. His latest fund invests property-generated cash flow into bitcoin (BTC). “Nobody else has ever done this to scale. Nobody’s ever done this particular model,” Cardone told CoinDesk in an interview. “And the response from our investors is phenomenal.” 🤑📈

One of Cardone’s buddies, who thought both bitcoin and real estate were too risky, decided to throw $15 million into the fund after hearing about it. Talk about a change of heart! 💔->$15M

Cardone bought an apartment complex in Melbourne, Florida, for $72 million and added $15 million in bitcoin to create the $88 million fund. The cash flow from the property will be used to buy bitcoin every month for the next four years. If bitcoin hits $158,000 in a year, the fund grows by 25%. If it reaches $251,000 in two years, the growth jumps to 61%. Cardone thinks bitcoin will hit $1 million per coin in five years. 🚀💰

Cardone plans to launch 10 more projects before June, with a total investment of $1 billion. If bitcoin follows Cardone’s predictions, Cardone Capital might end up with a bitcoin reserve worth hundreds of millions of dollars. 🤑💰

Taking a page out of Saylor’s book

Cardone has been buying real estate for 30 years and is well-known for it. With millions of followers on social media, he’s a real estate guru. Cardone Capital manages 15,000 units, and the firm distributes $80 million a year in dividends. “We don’t take institutional money,” Cardone said. “No sovereign funds, no Wall Street.” 🙅‍♂️🚫

Cardone didn’t see a way to combine real estate and bitcoin until MicroStrategy co-founder Michael Saylor suggested the model to him. “This is really a version of what he’s doing at MicroStrategy,” Cardone said.

Cardone plans to issue corporate bonds and put up combined mortgages against the projects to raise capital faster. He expects to change the game by plowing hundreds of millions of dollars into these hybrid projects. “Who wouldn’t give me a loan for $500 million against the combination?” he said. “I’m talking about very friendly long-term debt, no margin calls. Seven to 10 years.” 🤝💸

Cardone plans to buy bitcoin in a price-agnostic way, meaning he won’t focus on buying dips but will simply purchase bitcoin within 72 hours of the monthly distributions coming in. The firm will hold the cryptocurrency through an institutional custodian. Does he ever plan on selling? Not anytime soon, but he’s concerned about the growing frenzy surrounding cryptocurrencies.

“The place I’m at in my life, I can take this chance. I don’t need more cash flow,” Cardone said. “But if you’re 25 years old and you’re trying to get some cash flow for life, bitcoin is not a solution. It’s a bet, it’s a gamble, and you got to pay rent, you got to take care of your family, you got to feed your bills. And bitcoin just doesn’t do that.” 🤔🚫

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2025-01-22 20:46