Cardone Capital Acquires $105.4 Million in Bitcoin, Expands Portfolio

Cardone Capital, a prominent real estate investment firm, has made a significant strategic move by integrating Bitcoin into its portfolio. The firm has acquired 1,000 BTC, valued at approximately $105.4 million, and plans to add an additional 3,000 BTC by the end of the year. This bold initiative marks a shift in the firm's investment strategy, merging traditional real estate assets with digital currencies.

The decision to invest in Bitcoin is part of a broader trend among institutions that are increasingly viewing cryptocurrencies as viable treasury assets. Cardone Capital's move is particularly noteworthy as it is the first real estate investment firm to aggressively embrace Bitcoin. The firm's CEO, Grant Cardone, has described this fusion of real estate and digital assets as a combination of "the two best-in-class assets."

Cardone Capital's foray into Bitcoin began with the 10X Miami River Bitcoin Fund, which paired a 346-unit apartment complex with $15 million in BTC. Rental income from the property is partially converted into Bitcoin, creating a self-sustaining crypto treasury model. This initiative has paved the way for the firm's larger Bitcoin investment strategy.

The firm's interest in blockchain technology dates back to 2024 when it listed a $42 million property on Propy, a decentralized platform for real estate. This early adoption of blockchain technology has likely influenced the firm's decision to integrate Bitcoin into its investment portfolio.

Cardone Capital's move is not an isolated incident. Other institutions are also exploring Bitcoin as a treasury asset. For example, Parataxis Holdings in New York revealed an $18 million deal to acquire Bridge Biotherapeutics, turning the biotech firm into a Bitcoin-native treasury company. Similarly, Universal Digital, a Canadian crypto investment firm, announced plans to exit its altcoin positions in favor of a pure Bitcoin strategy.

With over $5 billion in assets under management, Cardone Capital is now positioning itself among the largest institutional Bitcoin holders in the U.S. real estate sector. This move not only diversifies the firm's holdings but also reshapes traditional treasury strategies by incorporating digital assets into long-term value creation models.

Grant Cardone, the founder of Cardone Capital, emphasized the declining purchasing power of the US dollar and the importance of leveraging money through investments rather than savings. He stated that the concept of savings could be misleading and that each US Dollar should come with a ‘you can’t protect it all’ warning, as its purchasing power will diminish over time.

Cardone Capital’s current portfolio includes 14,200 units and over $5.5 billion in total assets. The company aims to add 5,000 new units within the year, planning steady growth in both the real estate and cryptocurrency asset domains. The institution’s fund development strategy is conducted openly to various investors, and the inclusion of individual investors in the funds strengthens the company’s cash generation potential. The joint use of Bitcoin alongside real estate sector funds provides investors with a diversified structure, stabilizing earnings and decreasing risk, enabling them to bind their savings simultaneously to two major opportunities.

Experts believe that Cardone Capital’s move could trigger a different financial approach in the American real estate market. The company’s simultaneous investment in both real assets and crypto assets stands out as an experiment closely watched by the financial world. The strategy of combining real estate and crypto assets could initiate a new era in the sector, offering investors protection against economic fluctuations. However, considering the volatility in digital asset markets, investors are advised to act cautiously. How the company’s growth and diversification policies will impact the industry remains to be seen in future periods.