In a resounding declaration, Michael Saylor, the forward-thinking founder and chairman of MicroStrategy Incorporated, reaffirms the company’s strategic insight into Bitcoin (BTC). Using his official X account, Saylor publicly revealed his adoption of BTC as the firm’s treasury reserve asset (TRA) in August 2020. He shares an illuminating chart that skillfully juxtaposes Bitcoin’s performance against a range of significant financial assets, underlining the sagacity behind MicroStrategy’s choice.
Subsequently, Bitcoin has witnessed a remarkable ascent of 147%, eclipsing its nearest rival, the S&P 500, which monitors the performance of 500 U.S. stocks. The S&P 500 exhibited a commendable yet moderate 26% growth during this timeframe. Similarly, the technology-oriented Nasdaq Composite achieved an 18% increase since August 2020, lagging significantly behind BTC’s extraordinary surge.
Renowned for being a potent hedge against inflation and often hailed as “digital gold,” Bitcoin’s appeal is clear and a pillar of MicroStrategy’s investment strategy. In stark contrast, physical gold has witnessed a 3% dip compared to BTC’s outstanding performance, while silver and bonds have taken a more significant hit, with plunges of 19% and 24%, respectively. Surveying these alternatives, Saylor emphatically declared, “Bitcoin is stronger.”
MicroStrategy’s Strategic Bitcoin Holdings
MicroStrategy has distinguished itself as the unwavering advocate for BTC on Wall Street. Since August 2020, the company has shown no signs of slowing down in its BTC acquisition spree. The firm recently acquired an additional 5,445 BTC units, valued at an impressive $147.3 million.
This acquisition elevates MicroStrategy’s total BTC holdings to a substantial 158,245 BTC, acquired at an estimated cost of $4.68 billion. Although the current average price of the asset might not yield immediate profits for the firm, the superior performance of Bitcoin against other potential assets reinforces the wisdom behind their investment.
Bitcoin is trading at $29,917, reflecting a 0.38% surge in the last 24 hours and an impressive 11.19% increase over the week. BTC remains a steadfast and resilient option in the dynamic world of financial assets. Guided by Michael Saylor’s leadership, MicroStrategy continues to spearhead the way, setting a precedent that captures the attention of the financial community.