Real estate investor Grant Cardone combines traditional commercial properties with Bitcoin to create a multifamily housing fund. The company recently acquired a 366-unit complex for $235 million, adding $100 million in Bitcoin to the fund. This strategy allows for rental income to be used to purchase more Bitcoin, aiming to take the fund public. Cardone projects $10 million in net operating income annually for further Bitcoin purchases. This innovative approach may influence real estate investment trusts (REITs) and provide passive exposure to real estate for investors.

Crypto treasury companies face challenges due to lack of operational business generating cash flow. Grant Cardone emphasizes the importance of real estate in treasury companies, highlighting housing as a necessary purchase. Structural vulnerabilities may cause issues for treasury companies in the next crypto market downturn, as seen in the collapse of multiple on net asset value (mNAV) in September. Overleveraged companies may be forced to sell off assets or declare bankruptcy if unable to meet debt obligations.

Venture capital firm Breed predicts that only a few treasury companies will survive the next crypto market downturn due to operational vulnerabilities. The collapse of mNAV in September affected companies’ ability to finance purchases, leading to potential bankruptcy or asset sell-offs. Grant Cardone’s real estate-focused treasury strategy may offer more stability in a volatile market.

Read more at Cointelegraph: Cardone Capital Combines Real-World Utility With Bitcoin Strategy