Key takeaways:
- Michael Saylor believes that Bitcoin’s price could increase by as much as 500 times, but this depends on mass adoption in the financial sector, not on speculation.
- He added that the goal of his company remains to create financial products based on bitcoin.
- Strategy is criticized for selling a small portion of its bitcoin holdings in late May and then making another purchase, but at a much lower price.
Saylor still believes in Bitcoin
According to him, the next stage of bitcoin’s development should be to build a multi-layer capital market around it. He recognized BTC as the foundation of a digital asset portfolio, including digital credit, digital money and digital stocks. He believes that the high volatility of bitcoin’s price is what makes it a suitable base asset for financial products that meet the diverse needs of investors. He suggested that corporations, banks, insurers, retirees and payments companies may soon shift toward other forms of exposure away from directly owning bitcoin.
The answer is not to change Bitcoin, but to create products beyond Bitcoin that meet the needs of each pool of capital
– we read in Saylor’s article.
He also explained that digital money should be pegged to fiat currency because the world’s liabilities are still valued in fiat currency. In his opinion, most people do not want a current account where the balance changes by 5% a day, and stablecoins have proven that digital dollars are the answer to people’s real needs.
Idea Strategy
Well, our company acts as Bitcoin’s reserve bank. The idea of the company is that you have $50 billion or more in equity, you own bitcoin with that equity, and then you issue credit based on it
– he said.
In the same interview, Saylor reaffirmed his belief that bitcoin could surge as much as 500 times from current levels. However, this requires real adoption.
Recently, Saylor had to fend off critics who attacked him for selling 32 BTC at the end of May – they claimed that the company partially contributed to the decline in the market price. Some even suggested that Stategy did it completely cynically to cause panic and buy back bitcoins at a lower price (in fact, this is what it did).
The text does not constitute investment advice. You always invest at your own risk.
