Cardone Capital Launches 10X Miami River Bitcoin Fund, a Dual-Asset Fund Consisting of a 346-unit Multifamily Commercial Property

Cardone Capital, a real estate investment firm with over $5 billion in assets under management, launched the 10X Miami River Bitcoin Fund

Cardone Capital, a real estate investment firm managing over $5 billion in assets, has unveiled the 10X Miami River Bitcoin Fund. The fund, which focuses on a dual-asset strategy, comprises a 346-unit multifamily commercial property situated on the Miami River in Miami, Florida, and an additional $15 million in Bitcoin (BTC).

In a recent interview with Cointelegraph, Cardone Capital founder and CEO Grant Cardone revealed that the Miami River Bitcoin Fund, the firm’s fourth blended investment vehicle combining BTC and commercial multifamily real estate, will be dedicating a portion of its monthly cash flows to accumulating more Bitcoin.

Speaking on the motivation behind launching the fund, Cardone mentioned a suggestion from his brother, who observed that people are typically interested in either real estate or Bitcoin, rarely both.

“So, when I saw that, I said I am going to create a fund where we buy real estate, add bitcoin, and then use the cash flow from the real estate purchase to buy more Bitcoin,” the CEO stated.

The CEO also noted that over the long term, Cardone Capital aims to accumulate $1 billion in real estate and $200 million in BTC, which will be held as a treasury asset, across the hybrid funds.

These funds, with their unique approach of blending income-producing hard assets and Bitcoin as a store of value, could potentially disrupt the market for real estate investment trusts (REITs). REITs are market-traded funds providing investors with access to baskets of income-producing properties, along with other traditional commercial real estate investment vehicles.

Earlier this year, Blockfolio, a cryptocurrency portfolio management app, announced the launch of a tokenized real estate fund with institutional backing and a minimum investment of $100,000.

The CEO expressed his desire to introduce investors and tenants to Bitcoin and the opportunities it presents, without requiring them to possess technical knowledge of the digital asset.

Cardone mentioned that the real estate investment firm is considering a rewards program, paid in Satoshis, for long-term tenants who pay on time and maintain good renter behavior.

One goal of the hybrid real estate BTC funds is to encourage the adoption of Bitcoin and provide investors, who might otherwise avoid it due to technical barriers, with exposure to the digital asset, the CEO explained.

“We are onboarding people into a real estate vehicle that they understand and buying bitcoin for them,” the CEO added.

Cardone is also engaged in discussions with other financial firms to develop a hybrid Bitcoin mortgage product. This product would enable clients to borrow against their combined Bitcoin holdings and equity in a real estate investment.