Microstrategy’s executive chairman, Michael Saylor, sees bitcoin as “the strongest asset.” He believes that capital is going to keep flowing from other asset classes, such as gold and real estate, into bitcoin because the cryptocurrency is “technically superior to those asset classes.” He emphasized that bitcoin is an exit strategy and Microstrategy has no plan to sell its bitcoin. “There’s just no reason to sell the winner to buy the losers,” he explained.
Microstrategy Chairman Says Bitcoin Is Superior to Other Asset Classes — Expects Capital to Keep Flowing Into BTC
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Michael Saylor Sees Bitcoin as ‘the Strongest Asset’
Michael Saylor, the executive chairman and former CEO of Microstrategy (Nasdaq: MSTR), shared his outlook for bitcoin in an interview with Bloomberg Tuesday.
He was asked whether it is more difficult to source new bitcoin for Microstrategy to buy now that there are spot bitcoin exchange-traded funds (ETFs) on the market. “I think it’s a very virtuous cycle,” Saylor replied, adding:
The spot ETFs have opened up a gateway for institutional capital to flow into the bitcoin ecosystem. The demand for the spot ETFs, especially the new ones, has been far in excess of the supply from the miners every day. In some cases, up to eight to 10 times as much demand as supply every day.
“This is a rising tide that’s going to lift all boats,” he emphasized. “If you look at what these ETFs are doing, they’re facilitating the digital transformation of capital, and every day, hundreds of millions of dollars of capital is flowing from the traditional analog ecosystem into the digital economy.”
When asked about whether Microstrategy will sell its bitcoins and take profits anytime in the future, Saylor replied: “I famously said, ‘I’m going to be buying the top forever.'” He elaborated:
Bitcoin is the exit strategy. It is the strongest asset.
The former Microstrategy CEO continued: “So, what we see right now is that bitcoin has just emerged as a trillion-dollar asset class, and it’s alongside names like Apple and Google and Microsoft. But the difference between bitcoin and the Magnificent Seven is bitcoin is an asset class. It’s not a company. There’s not enough room in the capital structure of those companies to hold $10 trillion or $100 trillion worth of capital.”
He added: “ Bitcoin’s competing against gold, which is 10x what it is right now. It’s competing against the S&P Index. It’s competing against real estate — a $100 trillion plus asset class — as a store of value.” Saylor noted:
So we believe capital is going to keep flowing from those asset classes into bitcoin because bitcoin is technically superior to those asset classes. And that being the case, there’s just no reason to sell the winner to buy the losers.
Earlier this month, Microstrategy disclosed that it now holds 190K bitcoins. The Nasdaq-listed firm now calls itself “the world’s first Bitcoin development company.” The firm described: “We believe that the combination of our operating structure, bitcoin strategy and focus on technology innovation provides a unique opportunity for value creation.”
Do you agree with Microstrategy’s executive chairman, Michael Saylor? Let us know in the comments section below.
