Summary of Key Points
NBA star Kevin Durant is not only a "death dealer" on the court but also a successful investor off it. Through his family office, 35V, he initially invested $250,000 in the AI platform Hugging Face in 2018-2019. Now, NVIDIA plans to acquire the company for $14 billion, which could result in a 260-fold return (approximately $65 million). Durant's investment was no accident; it was part of a comprehensive business strategy built through 35V that covers technology, sports, and media. He tapped into multiple technological trends, including mobile internet, fintech, cryptocurrencies, and AI, and acquired valuable assets such as professional sports teams (like Paris Saint-Germain and MLS teams). He also uses the media platform Boardroom to amplify his influence. His case is a prime example of how top athletes transition from earning salaries to managing capital, transforming their on-court earnings into long-term equity investments and embarking on a "never-retiring" capital game, similar to stars like LeBron James and Kobe Bryant.
Detailed Analysis
How $250,000 Turned into $65 Million: How Did Durant Make This "Miraculous Investment?"
Durant's investment in Hugging Face was not a stroke of luck but a precise move ahead of the AI boom. In 2018, Hugging Face was still a small company focused on chatbots, and Durant invested $100,000 in its seed round; he followed up with another $150,000 in the A-round, for a total of $250,000. At that time, AI was not as popular as it is today, but Hugging Face later became a central platform for AI developers, similar to GitHub in the traditional software industry. As ChatGPT popularized generative AI, Hugging Face's value soared to $4.5 billion, and now NVIDIA is willing to pay $14 billion for it, meaning Durant's initial investment has multiplied by 260 times. It's like investing $250,000 in Tencent stock in 2010—how much would that be worth now?
More Than Luck: The Investment Brain Behind Durant—35V
Durant's investments are not random; they are part of a systematic approach orchestrated by his family office, 35V. A family office is a professional company used by wealthy individuals to manage their assets. 35V was established in 2016 after he joined the Warriors and together with partner Kleiman (named after his jersey number 35). To date, 35V has invested in over 100 companies across various fields such as fintech (Robinhood, Coinbase), health (WHOOP), and sports technology (Overtime). The key is Durant's ability to identify and capitalize on every technological trend: he invested in Postmates (later acquired by Uber) during the mobile internet boom, Coinbase during the cryptocurrency craze, and Hugging Face during the AI boom. This success is not luck but a result of his years in Silicon Valley (the San Francisco Bay Area, where the Warriors are based), where he has built connections with entrepreneurs and investors.
From Investing in Companies to Buying Teams: Durant's Acquisition of Valuable Assets
In recent years, Durant has started investing in more stable assets, such as professional sports teams. For example, in 2020, he bought a 5% stake in the MLS team Philadelphia Union, and in 2022, he acquired the women's soccer team Gotham FC, as well as the Pickleball League. Why invest in teams? Because they are scarce assets—there are only 30 NBA teams and 29 MLS teams in the United States, and they are less likely to fail compared to tech companies. Additionally, they align with his sports identity, providing stable long-term returns. For instance, LeBron James' early investment in Liverpool has turned into a significant profit. By investing in Paris Saint-Germain, Durant can both earn equity gains and enhance his global influence.
Media + Capital: Boardroom as a Platform for Amplifying Influence
In addition to investing, Durant owns another company, Boardroom, which started as a sports business media platform and has evolved into a multi-platform entity spanning sports and entertainment. Boardroom produces content (such as the Oscar-winning short film "Two Distant Strangers") and works on Apple TV+ shows, as well as managing subscription services. Its role is to convert Durant's star status into revenue and provide access to high-quality projects and resources for 35V's investments. For example, companies covered by Boardroom may become targets for 35V's next investments.
The Trend of Stars Investing: More and More Athletes Seeking Long-Term Returns
Durant is not the only star doing this. LeBron James has invested in film and sports-related assets through SpringHill; Kobe Bryant's investment in the sports drink BodyArmor was later acquired by Coca-Cola, resulting in a substantial return; Andre Iguodala became a professional VC; and Stephen Curry also has his own investment fund. Why do top athletes invest? Their careers are short (typically 10-15 years), and their salaries and endorsements provide only short-term gains. Investing in equity allows them to continue generating income even after retirement. As Kobe Bryant said, "I don't want to be someone who only makes money from basketball; I want to be an entrepreneur." Durant's story reflects this shift towards a "second career" for athletes outside of the court.
In Conclusion
On the court, Durant ends games with his signature jump shots; in the world of capital, he continues his legend through strategic investments. While there is a final whistle on the court, the game of capital never ends.