He’s at it again, absolute legend. This latest $500 million convertible senior notes, pumped into Bitcoin will put MSTR above 210,000 coins & > 1% of total supply.
Saylor is going to go down in history.
Saylor is going to go down in history.
I guess so!
Saylor's strategy is no joke. On the one hand I think he crossed the point of ne return quite some time ago. Not in the sense that he couldn't sell and lean back, but in the sense that he has communicated a certain message to the world and now he will stick to it no matter what. It impresses me and no kidding here, if he keeps accumulating BTC like this, and BTC keeps expanding, which I think it will at rapid pace, Saylor and MicroStrategy could not only become filthy rich, but more importantly a geopolitical player because of their supply control over the one and only globally relevant decentralized currency.
If BTC one day becomes the highest valued circulating currency in the world and someone controls a few percent of it, damn that means a lot of things at the same time. It's not comparable to people who have their wealth in equity or spread over several asset classes. BTC is a decentralized reserve currency to any other currency. Or well, I realize BTC is not only a foreign currency because it is foreign to all currencies. It is, put in better terms, a reserve financial system to the entire existing financial system. Yes, a reserve system. Owning a few percent of that, for me this begs the question whether one day someone like Saylor could become a target of globally important actors pursuing their geopolitical agendas. There will probably not be competition for BTC like there is for Tesla in the car manufacturing industry. There is not a single person actor owning a few percent of the USD supply. It is a government, a state, but not a single target.
I would be interested in your opinions about this and whether you think I am getting something wrong here.
It remains a bit of a head scratcher and a bit of a dilemma regarding why he wants to push the issue so much, and like you suggested, he seems to have painted himself and/or his company into a kind of a bitcoin accumulating engine, and surely he has to do it publicly on the side of his company, since it is a public company, so those announcements have to be made, even though maybe not in the ways that Saylor is announcing them.. but he gets a lot of retweeting of his bitcoin buys anyhow. Of course, if Saylor is making any further personal purchases (beyond the initial nearly 18k bitcoin that he claimed to have had bought in July 2020), he has not been saying anything about any further personal purchases of BTC that he might have had been making.
The important thing is that once they have cashed those 500 million, they will buy Bitcoin on the open market during the early European Hours, when liquidity is thin, and they are not going to be shy. They will lift the market in European hours for approximatively 6,500 BTC.
I'm not going to criticize Michael Saylor, so don't flame me, but if he buys bitcoin that way is it in the best interest of MSTR's shareholders? AFAIK he's got a fiduciary responsibility to use Microstrategy's money & resources in the most responsible manner possible, and I'd think that getting a loan for that much money and buying bitcoin at a time when trading volume is relatively low might raise some eyebrows at the very least.
Aside from that, you can't argue with MSTR's stock price right now ($1695 as I write this). Never would have thought it'd go that high, but I've been proven wrong once again.
Who is flaming who? You keep raising the same question for the last 3-ish years.
Yeah of course Saylor has fiduciary duties to his shareholders, and they seem to love his approach, as demonstrated in the share price and also how he seems to keep doubling down, and you might consider that he his overly leveraging the company when he could just let it ride, but his average price per BTC has merely gone from $28k-ish to $33k-ish in recent times (maybe over the last 9 months.. but then they got an additional 70k bitcoin or maybe more during that time, too.... and so yeah, maybe he will end up running MSTR into the ground if for some reason bitcoin ends up not being as great a bet as his shareholders and he seem to think it is.
I am also pretty sure they changed their company's purpose to a bitcoin development company, even though more accurate it seems to be a bitcoin speculation company, which may not be enough of a discrepancy to make any difference since he is publicly open in regards to the contents of his various 10k reports... Which shareholders are going to claim that they did not know what he has been doing?
On the other hand, if your theory is that they are going to turn on him when (or if) the BTC prices go down, that seems to be a pretty lame cause of action, even though you seem to think that it is important.... and it is not.. You should already realize that one of the main ways to make a cause of action for breach of fiduciary duties would be in regards to lack of transparency (if such were to exist) rather than merely based on his using leverage to buy bitcoin and telling everyone that is what he is doing.
