Hello and welcome to Alts Cafe
This is everything you need to stay up to date in alternatives.
Highlights from the full issue:
- Macro: Trump imposed 25% tariffs on Mexico and Canada
- Real Estate: Paramus, NJ approved 1,000 new housing units
- Startups: ElevenLabs secured $180 million in Series C
- Private Credit: Healthcare PE deals hit $115 billion in 2024
- Crypto: The SEC approved Bitwise Bitcoin and Ethereum ETF
- NFTs: Colle AI invested $200 million in AI-powered NFTs
- Art: A new John Constable sketch is set for auction
- Vintage Autos: Barrett-Jackson’s auction hit $198 million
- Coins: Heritage Auctions’ FUN Sale hit $65.4 million
- Farmland: California farmland values plunged 75%
- Luxury: Prada bought two Milan buildings for €12.5 million
- Wine, Tequila, and Spirits: D2C wine shipping fell in 2024
- Film & Music: Warner Bros. Discovery struck a $1 billion deal
- Precious Metals: The precious metals index hit record highs
- Collectibles: Victor Wembanyama’s jersey hit $22,000
- Websites: tyres.co.uk sold for £300,000
Let’s go.
Wyatt
Table of Contents
Macro View
Bullish News
- India set a 4.4% fiscal deficit target for FY26 while lowering borrowing in its 2025 budget.
- Jefferies hired Barclays’ Tim Kerry to co-head its European leveraged finance division.
- Traders pushed back Fed rate cut bets to June after inflation rose to 2.6% in December.
- President Trump urged Saudi Arabia to increase its planned $600 billion US investment to $1 trillion.
Bearish News
- President Trump imposed 25% tariffs on Mexico and Canada and a 10% duty on China.
- Canada condemned President Trump’s tariffs and announced 25% retaliatory duties on $155 billion worth of US goods.
- Satellite images dimmed Moscow’s lights.
- Albany’s $31 million project failure left a historic home at risk of demolition.
- US inflation rose 0.3% in December, driven by robust consumer spending. Core inflation increased 2.8% annually.
What are the odds?
According to Kalshi, there’s a 93% chance that DJT will impose new tariffs on the EU in 2025.
Get $10 to play around with using this link.
Real Estate
Bullish News
- Paramus, NJ approved 1,000 new affordable housing units, Bergen County’s largest plan.
- The global real estate market is projected to hit $7.84 trillion by 2033, growing at 7.6% annually.
- Indiana’s fastest-rising home prices jumped 12.4% in a year, reaching $285,945.
- NYU’s Global Real Estate Markets Conference will convene in Abu Dhabi on Feb. 12-13.
Bearish News
- Pending home sales fell 5.5% in December as mortgage rates climbed above 7%.
- CMBS delinquencies rose to 6.57% in December, with office sector defaults hitting 11.01%.
- A proposed 45-story tower in Manhattan’s Meatpacking District is facing strong opposition.
- Three El Paso hotels went to auction despite rising airport traffic and hotel demand.
How to invest in real estate right now:
What is an El Paso hotel to do at this point?
Startups
Bullish News
- Rad AI raised $60 million in Series C, valuing the company at $525 million.
- Quibim secured $50 million to expand its AI imaging tech and US presence.
- Lever VC closed a $50 million first round for early-stage agrifoodtech investments.
- Nucleus raised $14 million in Series A, bringing total funding to $32 million.
- ElevenLabs secured $180 million in Series C, raising its valuation to $3.3 billion.
Bearish News
- Over 1,250 Google employees petitioned for job security after mass layoffs.
- The NIH and NSF froze research funding, disrupting universities and startups.
- Venture debt lenders forced fire sales after issuing $53.3 billion in new loans.
- Only 20% of 2022 seed-funded startups advanced to Series A, down from 51-61%.
How to invest in startups right now:
It’s the survival of the funded.
Private Equity and Private Credit
Bullish News
- Fortress Investment raised $1 billion for its latest litigation finance fund.
- Global AI PE and VC funding hit $56.7 billion in 2024, up 94% from 2023.
- Databricks secured $15.25 billion in funding, reaching a $62 billion valuation.
- Healthcare PE deals hit $115 billion in 2024, the second-highest ever.
- Oregon State Treasury committed $605 million to private equity.
- Warburg Pincus, CVC, and TPG competed for a $3 billion Metro Pacific Hospital stake.
- Asian investors backed a $30 billion fund for the secondary PE market.
Bearish News
- Broadstreet execs fraudulently raised over $1 billion from 1,000+ investors.
- Patient satisfaction dropped 5.2% at PE-owned hospitals after three years.
- Investors dumped a record volume of PE stakes in early 2025.
- Connecticut proposed stricter oversight of PE healthcare deals after $500 million was diverted from hospitals.
How to invest in PE and Private Credit right now:
How many more studies must we do before deciding PE should stay out of hospitals?
Crypto
Bullish News
- Humanity Protocol raised $20 million, reaching a $1.1 billion valuation.
- Grayscale launched a dogecoin fund as alt-coin adoption continues to grow.
- SEC approved Bitwise Bitcoin and Ethereum ETF for dual exposure.
- El Salvador amended Bitcoin laws to secure a $1.4 billion IMF deal.
Bearish News
- An DogWifTools update drained $10 million from user wallets.
- Phemex lost $85 million in a January 2025 hot wallet hack.
- The judge rejected Kraken’s defense, allowing the SEC case to continue.
- Crypto.com delisted USDT and nine tokens in Europe under MiCA.
How to invest in Crypto right now:
Memes are an asset class now.
NFTs
Bullish News
- Colle AI invested $200 million to expand AI-powered NFTs on Ripple.
- NFT concert tickets have helped eliminate fraud and facilitate VIP perks.
- The Met launched Art Links on Coinbase’s Base with NFT rewards.
- OpenSea’s OS2 platform debuted with a redesigned interface and XP system.
- Anime Tokyo Station’s ANIME☆OTODAMA hit 130,000 players on Roblox.
Bearish News
- Pudgy Penguins NFTs and PENGU token dropped 20%, triggering liquidations.
- OpenSea’s OS2 beta faced backlash over limited access and unclear airdrop plans.
- NFT sales fell 28% to $141 million, with Ethereum-based NFTs down 40%.
How to invest in NFTs right now:
Bear market or just bad art?
Artwork
Bullish News
- The AI art market hit $298 million in 2023, projected to reach $8.2 billion by 2033.
- Hauser & Wirth sold Avery Singer’s Poker Players for $575,000 at FOG Design+Art.
- Creative Scotland awarded $200 million to 251 arts groups over three years.
- A newly discovered John Constable sketch was set for auction at $250,000.
- 1-54 Contemporary African Art Fair saw strong sales, including Tate’s Amoako Boafo acquisition.
Bearish News
- President Trump dissolved the Arts and Humanities Committee, cutting its $335,000 budget.
- A Mark Bradford painting failed to sell at Sotheby’s Singapore after dropping to $1.9 million.
- A thief stole two paintings from a Somerville exhibit, delaying the show.
- Two criminal rings in Thunder Bay mass-produced fake Norval Morrisseau paintings.
How to invest in Artwork right now:
Tough to imagine spending any real money on AI art.
Vintage Autos
Bullish News
- A 1954 Mercedes-Benz W 196 R Streamliner sold for $53.9 million, a Grand Prix record.
- Barrett-Jackson’s Scottsdale auction hit $198 million in sales with 2,013 cars sold.
- GAA Classic Cars’ Greensboro auction featured 750 collector vehicles.
Bearish News
- Automakers sued Maine over compliance issues in its Right to Repair law.
- A drone strike destroyed ex-Ukrainian president Viktor Yanukovych’s £3.3 million classic car collection.
How to invest in Vintage Autos right now:
That’s a helluva sale for the Merc.
Rare Coins
Bullish News
- Heritage Auctions’ FUN Sale hit $65.4 million, with five coins topping $1 million.
- The Bicentennial Quarter Bonanza featured seven coins valued at over $5 million each.
- Heritage’s NYINC World Coins Auctions totaled $26.5 million, led by an 1898 Republic Gold ‘9’ Pond.
Bearish News
- Grading service population reports showed biases distorting accurate coin rarity data.
- RETNA’s studio contents faced disputed auction after landlord seized millions in artwork over unpaid rent.
How to invest in Rare Coins right now:
Another week, another opportunity to scour my couch for a $5 million quarter.
Farmland
Bullish News
- The smart agriculture market is set to hit $38.86 billion by 2031, growing at 10.3% annually.
- Peoples Company expanded in Illinois by acquiring Land Pro LLC for land management services.
- Walton Family Foundation and Farmers Business Network launched discounted land loans.
- Louisiana allocated $350,000 in grants to boost its specialty crop industry.
Bearish News
- California farmland values plunged 75% as water costs soared to $3,000 per acre-foot.
- The Fed’s steady 4.25-4.5% rates kept farm borrowing under pressure.
- The Ogallala Aquifer dropped over 1.5 feet in Kansas, threatening water supply.
- England announced plans to cut farmland by 10% by 2050, reducing livestock production.
- Tennessee’s extreme drought expanded to 7%, affecting 11 counties.
How to invest in Farmland right now:
Tennessee has hit a dry spell.
Luxury Goods
Bullish News
- Bottega Veneta opened a two-story boutique on Chicago’s Oak Street with a VIP suite.
- Prada bought two Milan buildings for €12.5 million to expand in Italy’s fashion capital.
- A 1972 Rolex ‘Double Red’ Sea-Dweller surged to $35,000 in value.
- Jimmy Choo and Jean Paul Gaultier launched a luxury jewelry collaboration.
Bearish News
- LVMH’s wine and spirits profits dropped 36% to €1.356 billion in 2024.
- Salvatore Ferragamo’s sales fell 10.5% to €1.04 billion in 2024.
How to invest in Luxury Goods right now:
Rolex is so back.
Wine, Tequila, and other Spirits
Bullish News
- ASM Capital Group secured $10 million to invest in American Single Malt Whiskey.
- The luxury wine market projected 4.5% CAGR growth through 2032.
Bearish News
- The founder of Nant Distilling faces 736 charges in a whisky investment fraud case.
- Direct-to-consumer wine shipping declined in 2024, signaling struggles in the alcohol market.
- A 3.6% alcohol tax hike in Britain may curb consumption, hitting premium products hardest.
How to invest in Wine and Spirits right now:
A whisky investment has gone sour.
Music and Film
Bullish News
- The global film and music market hit $394 billion in 2025.
- Warner Bros. Discovery struck a $1 billion deal with Cutting Edge to co-own 400,000 compositions.
- Universal Music shares jumped 11.2% after signing a new Spotify licensing deal.
- Jay-Z’s Roc Nation partnered with Musicow to launch a $5 million Music Equity Service Provider.
- Warner Music’s short interest surged 32.8% in January.
Bearish News
- Paramount Global negotiated a lawsuit settlement with President Trump.
- European composers face low royalties and unfair contracts from film and TV producers.
- Superman co-creator Joseph Shuster’s estate sued Warner Bros. Discovery.
How to invest in Music and Film right now:
What exactly are these 400,000 compositions?
Metals and Gems
Bullish News
- ADQ and Orion Resource Partners launched a $1.2 billion mining investment joint venture.
- The World Bank’s precious metals index hit record highs last week.
- India cut import duties on precious metal jewelry from 25% to 20%, lowering costs.
- The gemstones market is projected to reach $32.8 billion by 2032.
- Scientists developed a diamond battery that provides continuous power for 5,700 years.
Bearish News
- Natural diamond prices fell 26.7% to $3,923 per carat, while lab-grown dropped 74% to $892.
- Gemfields halted emerald sales after Zambia reinstated a 15% export tax.
- Silver’s rally faced headwinds from inflation and a slower pace of rate cuts.
How to invest in Metals and Gems right now:
So, do I have to carry around a phone charger?
Collectibles
Bullish News
- A Victor Wembanyama’s jersey from a viral swap with a young fan reached $22,000.
- The global animation collectibles market is projected to reach $25 billion by 2032, growing at a CAGR of 9%.
Bearish News
- Three scammers were charged with selling $200,000 worth of fake Jason Kelce memorabilia.
- A collector sued Heritage Auctions for allegedly undervaluing a Wizard of Oz witch’s hat.
- A former USPS worker stole and resold $108,000 in sports memorabilia.
- Heritage Auctions sold disputed RETNA artwork seized over unpaid rent.
How to invest in Collectibles right now:
How high should we value the hat of a witch who wanted to kill a girl for her shoes?
Websites and Domains
Bullish News
- D3 raised $25 million to develop DomainFi.
- The managed domain market hit $1.56 billion in 2024.
- Sedo recorded its fifth-largest .co.uk sale, with tyres.co.uk selling for £300,000.
Bearish News
- RDAP replaced WHOIS as the primary domain ownership database.
- US and Dutch authorities shut down 39 domains tied to a Pakistani cybercrime group.
- European ccTLDs struggled with slowing growth, higher renewal fees, and AI-driven search shifts.
- The .ai domain market collapsed as VC funding fled the AI sector after DeepSeek’s rise.
- US officials linked $3 million in fraud losses to Pakistani phishing domains.
How to invest in Websites and Domains right now:
Pakistani hackers have been put on notice.
That’s all for this week
Cheers,
Wyatt
Disclosures
- We hold BTC and ETH in our ALTS 1 Fund.
- This issue was brought to you by our friends at Growth School.
- There are a couple of affiliate links above. If you click them, we may get a couple of bucks.