MicroStrategy’s CEO, Michael Saylor, has stated that he will not sell the company’s Bitcoin holdings, considering it the ‘winner’ against the ‘losers’ of traditional asset classes.
Michael Saylor Shows Unwavering Faith in Bitcoin
Michael Saylor, a staunch Bitcoin maximalist, has no plans to sell his company’s BTC anytime soon. He said, ‘There is no reason to sell the winner to buy the losers’ during an interview with Bloomberg TV. According to him, Bitcoin is in competition with much larger asset classes such as gold, real estate, and the S&P, but it stands out as the superior product.
Long-Term Strategy and Digital Transformation of Capital
The introduction of Spot ETFs has opened a door for institutional capital into the Bitcoin ecosystem, facilitating the digital transformation of capital. Saylor explained that ‘every day, hundreds of millions of dollars of capital move from the traditional analog ecosystem to the digital economy.’ With 190,000 bitcoins held as of the end of January, purchased at an average of $31,224 per coin, and Bitcoin currently trading around $52,000, MicroStrategy’s holdings are worth about $10 billion, with $4 billion in profits.
Bitcoin: Technical Superiority as an Argument
For many investors, this would be the time to consider an exit, but not for Saylor. He asserted, ‘Bitcoin is the exit strategy.’ He sees the value of Bitcoin, currently just above one trillion dollars, competing with asset classes like gold, real estate, or even the S&P – all of which have much larger market capitalizations than Bitcoin.
Saylor argues that Bitcoin is superior to all these asset classes.
We believe that capital will continue to flow from these asset classes to Bitcoin because, technically, Bitcoin is superior to them. Therefore, there is no reason to sell the winner to buy the losers.
A Renewed Commitment to Bitcoin
MicroStrategy started buying Bitcoin in August 2020 and has consistently increased its holdings since then. The software firm, along with its fourth-quarter earnings report, rebranded itself as a ‘Bitcoin development company,’ further strengthening its commitment to the cryptocurrency.
