Michael Saylor, the former chief executive and current Executive Chairman of MicroStrategy, the largest corporate holder of bitcoin (BTC), has stated that MicroStrategy bitcoin purchases will continue, and that he has no plans of ever selling the digital asset.
When asked about his firm’s plans regarding the liquidation of its 190,000 BTC holding in a recent interview with Bloomberg on February 20, Saylor confidently stated, “I’m going to be buying the top forever. Bitcoin is the exit strategy.”
The MicroStrategy Bitcoin Strategy: Buying ‘Forever’
Based on current prices, the entire holding of MicroStrategy is now worth around $9.88 billion, and Saylor’s declaration solidifies the company’s enduring bullish stance on Bitcoin. Saylor also stated that the digital asset is “technically superior” to gold, the S&P 500, and real estate, irrespective of the fact that all the other asset classes have market capitalization far ahead of that of Bitcoin’s $1 trillion market cap.
“We believe capital is going to keep flowing from those asset classes into Bitcoin,” Saylor said while noting that BTC is superior to the other asset classes. He added:
“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.”
As reported earlier by Bitcoinnews, MicroStrategy purchased 850 BTC, amounting to an investment of $37.2 million in January 2024. According to Saylor, the next task for MicroStrategy is the development of the Bitcoin Network, and the company will leverage its expertise in business intelligence software to position itself as a leader in the Bitcoin space.
Saylor Shares Insight on Spot Bitcoin ETFs
Saylor also highlighted that the demand for BTC has been driven up by the recent approval of spot Bitcoin ETFs and the investors’ appetite “has been far in excess of the supply from the miners,” sometimes up to “10 times as much.”
However, the former chief executive of MicroStrategy quickly brushed off concerns that the spot BTC ETFs would make it difficult for the company to purchase additional BTC, adding that it employs a “levered operating strategy” for investment in the digital asset.
“The spot ETFs have opened up a gateway for institutional capital to flow into the Bitcoin ecosystem,” Saylor said, while noting:
“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.”
As per a previous report, the newly-approved ETFs effectively surpassed MicroStrategy’s 3-year stacking spree in less than a month. Out of all the new investment vehicles, BlackRock’s iShares Bitcoin Trust (IBIT) became the first product to amass around 100,000 BTC in February.
“This is a rising tide. It’s going to lift all boats,” Saylor said.
In the meantime, VanEck’s BTC ETF which goes by the ticker HODL, saw a significant surge in trading volume, as pointed out by Eric Balchunas, senior analyst at Bloomberg Intelligence on social media platform X. HODL saw a 140% increase in its volume as compared to its daily average. Notably, it wasn’t one big investor but 32,000 individual trades, which is 60 times the ETF’s average.
