Topic: MicroStrategy knows or not? (Read 701 times)

His company is buying aggressively not just to grow its portfolio but because it believes (and it does very well) that the price will rise to such an extent that by selling a smaller number of BTCs it will pay for the fiat bonds/ securities/ loans. This means that it will pay less and will still have a significant number of BTCs to move forward without any burden. From what I know, he owns (as an individual) a significant number of BTCs, close to 18000BTC and that makes him already a strong holder and BTC supporter. So, I doubt that he and his company will stop buying. The thing is when he will stop doing it aggressively? Or he won't stop doing it?

Yes, that's true, but like other he's also into it to earn profit from his investment. If he someone earns that profit from the increase value of his shares then he will surely invest more in Bitcoin even if its value becomes $500k but if he's a mastermind then he'll sell some Bitcoin $200k and recover his investment back and at the same time he earns huge profit.

You have just stated the obvious and i am of same opinion as you. Whatever that concerns money, we don't need to completely believe what anyone says. Even though Michael Saylor said of giving his wealth in bitcoin to humanity but we shouldn't hold him by his words because sometimes, humans uses technical strategies to confuse people but it is always in the end that true intentions are being discovered. Michael Saylor is having a good time now that his investment in bitcoin has grown huge wealth for him but who knows his next line of actions is a question everyone should have at the back of their mind. We should not completely trust those who criticized bitcoin in the past because they can wake up any day and surprise everyone with their move.

That's why they follow this strategy because they believe that the price of BTC will surpass any fiat debt. If BTC rises, they will sell less in order to pay their fiat debt.


Well, those people said that BTC is a bubble...
Anyway, they calculate the positive scenario. Did they calculate the negative possibility as well? BTC isn't a stock...


And probably, that's the reason that they don't be afraid to buy aggressively. Because they know that these moves will be made and will make the price rise even more. If Governments see it as a reserve, that means that they will not trade it instead they will hodling it.

The way whaling works. The same way high finance will be working.

Saylor will buy more BTC. He will never stop until he reach what he desired. He wanted to bring as many cash as possible to the bitcoin. If he stops now, he won't reach his target.

He's targeted million for a bitcoin. He wants his company to have three digits billion or trillion valuation. This is what he wanted to do.

They will definitely sell without letting us know, but at the same time, why would they? Not like they have to do either, they can let us know or not let us know and neither have anything negative for them at all, not like they will do that before they sell, that would crash the price and won't help them, but afterwards? This is a public company so if they end up selling, eventually we will see about it and know about it.

All in all, I believe he may sell if he ever decides to retire and cash out his company, but aside from that I do not think that he will sell, when you are making this much money, why would you sell? Nobody would ever think about selling in this situation. Also, another point to note is that he has way too much, nearly getting to 400k bitcoins now, so if he ever wants to sell, he won't be like us poor people, deposit that all on coinbase and cash out. He would do it "over the counter" style, p2p, or in this case b2b, and sell it to some big company in chunks instead.

If I am not mistaken, he said he will never sell any coins and keep buying but I don't know if we should take his words seriously. He is not the most honest person out there imo. So far he has been doing great since bitcoin pumped a lot thanks to him but who knows what he will do in the future. People change opinions all he time. I am not necessarily saying that he is lying but in the past he was anti-crypto. Then he changed his mind and became super pro-crypto. He might change his mind again in the future. We need to stay alert.

I don't think he'll buy more Bitcoin in this bull run because he has already accumulated huge amount of Bitcoin and now he might see how this bull run goes and what high value Bitcoin reaches in this bull run.

If somehow Bitcoin crosses $200k then there's chance that he might sell half of his accumulation and recover his initial investment plus huge profit. And, he might accumulate more in the bear market.

Microstrategy does not buy Bitcoins with its own funds, but with funds received from issuing bonds and shares. The management of Microstrategy is experienced Wall Street businessmen. These people are not guided by emotions, but by rational calculation.

Bitcoin is a deflationary asset and it grows over time. Currently, the idea of ​​creating Bitcoin reserves is actively discussed in the United States. In the future, all countries will have Bitcoins as part of the gold and foreign exchange reserves of their Central Banks. Bitcoin is gradually becoming a strategic reserve.

Therefore, the management of Microstrategy is acting very wisely, accumulating the first cryptocurrency on its balance sheet.

Yeah with the unexpected all time high rate I know for sure it's going to beat up all other currencies soon and amount as the number 1 exchange and currencyin the world and of a truth I tell you this is the period one need to hold more Bitcoin in wallets and invest as well. But talking about this micro strategy I presume it can enable Bitcoin to skyrocket the more making it visible for more adoption.

If it's about public eye service, I think Elon Musk should be the one doing this which I remember he did in the last run but what happen later, he retracted and sold more than what he was having on the wallet and holding half now. He also provided an option for people to buy their products using Bitcoin and also stop the service but Microstrategy hasn't done all this but his company shares are going up, I'm not sure if it's what you think it's about publicity.

He has been a fan of Bitcoin right from day one when Bitcoin isn't this expensive, he want to see Bitcoin goes up way higher than anyone can imagined and since it has been working for him. If his dream of seeing Bitcoin goes up is working, there is no point got him to stop right now. The best is to continue to buy more and more so that peoples confidence in holding Bitcoin can continue to grow just like now the market is bullish for everyone.

Microstrategy have really shocked the world with their bitcoin investment, no one ever imagined they’d invest this big into bitcoin when they started. The bulk of it indeed happened in the year 2024, which bitcoin price has not been relatively low at the time. They continued to add to their portfolio even when the price of bitcoin continues to rise, that’s how much confidence they have in their investment in bitcoin and knowing fully well that they’ll reap the fruits of it in the coming months or years.

Holding more than 1% of the total bitcoin supply is a very big achievement, checking from the price of bitcoin today, they’re so rich that if they’d never invested in bitcoin, their profit wouldn’t have grown this big within this short period of time they’ve invested in it. Not even their company will give them such a big ROI from last year to this year. They are business ventures and I believe they see and actually see the probability of the success of a thing from months or years into the future, if not that, I don’t think they know something about bitcoin that the whole bitcoin community don’t know and finds it hard to see them invest this big in bitcoin.

The word Global does not appear once in the Whitepaper, Not even the word World is present in the paper. There is not a word of replacing the $.
It was made as a P2P, a way to replace or sideline banking wires.

Once you had contact with the stubborn way banks, especially in the 3rd world ,treat people, or clients who need to channel (pay) money into country deems paria, suspect or else you know.

A bank closed an account of a friend of mine, he lived in Austria.
He wished to pay and the receiver bank was in Panama. The amount? Below €1000.

Microstrategy is taking a a bet. Lets see if it works out.

From Bitcoin's whitepaper, we can clearly understand that Bitcoin is a global currency. Payment providers are 3rd parties and when it comes to payments from one country to another, there is a chain of banks that partnership and cooperate with each-other and not every payment provider is capable to accept many debit/credit cards. Bitcoin solves this problem, you don't need any 3rd party, you can send and receive Bitcoin from any part of the world to anyone, without limits. This is truly a phenomenal for everyone not only interested in ecommerce but for anyone who wants to deal smoothly with people all around the world. That is the future of finance, that's what helps economy to develop.

Basically Bitcoin is a multi -function for now because it can be used for payment tools, investment assets or value protectors such as gold, and the use of subjective use, I feel that the use is relative. But in general today Bitcoin is made as an investment tool and a value protective equipment.

So it's a luck in the financial world where Bitcoin has a multifunctional for now and that is a very good thing we can see from Bitcoin.

they also probably bet on the probability of bitcoin being approved of strategic bitcoin reserve in the future which might be a big thing for bitcoin and the only reason that could justify 1 million price for bitcoin.
but so far I think like as you said, they just doing it because it works, it can inflate their stock valuation more than double of their BTC holding that means it's a good enough result already.

surely they know something that we don't know that's why maybe buying BTC right now isn't that risky after all, current market price might seem a little on the expensive side but if there's any chance that BTC could go really high in the future I guess $100k can be considered cheap for long term holding.

It depends on what we think as a global currency. To me bitcoin is more than a global currency. You can send bitcoin to your family and friends in anywhere in the world. It is not seen as a local or foreign transaction and no discrimination. So what is that? Is that not a global currency? Bitcoin can be used as investment by many people but also it can be regarded as a global currency.

This is not really about knowledge but about conviction, how many times we have read on the forum about people that sold their cars or houses to buy all the bitcoin they could? And while a very risky move, the reality is that as long as they could hold their coins no matter what and avoid selling, then this will eventually become a profitable move, this is just the same, it is just that the scale is magnitudes of order bigger, but the core idea is the same.

There is this post I read where Microstrategy bought many Bitcoin around $12k, till now he hasn't sold anything, that's tells us the guy want to dominate Bitcoin and he want to be the leader. He isn't the only one in this race if Bitcoin accumulation, Blackrock is also taken all the Bitcoin he touches. What if those two people are even in competition to stack all the Bitcoin they see around or perhaps or what if they even collaborate to make Bitcoin scares for people.

Whatever the reason or the things they see in Bitcoin that we the ordinary don't see, I'm very sure that it's because it's going to benefit them. They have the money, Microstrategy has backing of MSTR and as long as that stock is performing well, their Bitcoin position will remain strong and liquidation will be far from them. The more they buy Bitcoin from the market, the low probability it becomes for Bitcoin price to comes down, $100k one day will be $10k of last few years.

They are not new on this, so I think that instead of thinking about the risk and other negativities like fear, doubt, and uncertainties, they just think about the benefits that they can get other positive traits. BTC is decentralized and not owned by some one else or some big entities, so I don't think they know something that we doesn't know. Bitcoin has a technical side or the hard side for most people but it also has a soft and easy side and I think this is the ones that surfaced. So if they know this one, then it is also possible for us to know it and in fact we might know it already.

When you say 'pull out anytime soon' IDK but that sounds negative to me. It sounds like a rug pull, lol and seems not right from a big and legit company such as Microstrategy. But in terms of selling their BTC (which is only normal), indeed that they won't do it just yet because number one; we are not in $100k yet and number two; even if we touch it, they still can carry on because usually big companies are the legitimate long-term hodlers. They can hold for decades or even longer than it, it is because they also have a bigger target than us.

If they buy at highs, they can surely buy more at the dip and at the same time wait for the recovery of course.

Right, Satoshi Nakamoto made good network and he changed the World because before that many people were investors of gold and they got double money after doing investment for year but Bitcoin is safe cryptocurrency and no one can control the price of BTC . The total supply of BTC is limited and now interest of World is increasing towards BTC and we will see huge dump in future and there will be more Investors of BTC because millions of people became millionaires and billionaires by BTC . That is late to invest but they should focus on the facts and figures and then invest in BTC . When one person holds huge amount of BTCs it impacts on the  market situation and can cause fear and greed.

We don't need to give advice to big companies like MicroStrategy which for now the company is a company that already has more Bitcoin and is still buying this year. Because they will definitely always take a wise enough step in running something so their consideration is also really mature because companies like MicroStrategy have not only bought more Bitcoin this year but in previous years they have also bought more Bitcoin which has also been followed by Grayscale and Blackrock.

And for the profits of a company as big as MicroStrategy, of course the amount will not be small but I am really not surprised by it because it is really worth what they have done so far. In addition, the president of the country of El Salvador himself is still implementing purchases on Bitcoin and the country has also gained more benefits through the adoption of Bitcoin which they are still running until now. So what they did is actually a fairly accurate example to be able to raise the spirit of investors to continue buying non-stop even though the price of Bitcoin itself is at a very different level at this time.

Most people today do not consider Bitcoin as a global currency, but rather an investment asset, a hedge, therefore many companies and even countries buy it to store and invest in bitcoin, what Saylor did is also like that, Bitcoin is too valuable to be used as a currency today.

I agree with your last sentence because the world will adopt it, but not for currency but as an asset, and we know that, only a few people will make transactions using bitcoin, even though it can be used as a currency but only a few people, like gold or others as a means of exchange for certain things in an agreement between two parties.

I am newbie and trying to understand few things about Bitcoin but still if I am right then MicroStrategy is currently in good profit because they bought these Bitcoins before this bull run, and now we are touching new highs which are good for them if we have sentiments on this level for few more weeks than surely they could be able to have more profit.
Their strategy of buying in 2024 is surely not bad because expectations are high for having six figures coming in action in few days so their buying could be in good profit now they need to keep eye and have good profit instead of doing any mistake which give them regret in the future.

MicroStrategy is a reputable company but they are not a very large or top company in the US. Therefore, they will not be able to get better advisors and experts like larger companies. But as we see, big corporations like Apple, Microsoft or Google don't even have plans to invest in bitcoin. That leads me to believe that everything about bitcoin is Michael Saylor's vision and strategy, not from a team of good advisors and experts.



Don't be naive, even if they intend to sell them they don't need to inform us. They will sell them quietly and we will only know they sold when their financial report is released at the end of the quarter. Like Tesla, no one knows if they will sell bitcoin until they release their quarterly financial report.

Trying to understand what they know will not make much difference. They buy because they like it, or they buy because they know it will go up, in the end I believe bitcoin will go up anyway so I do not really need them to tell me that. Even if microstrategy weren't buying any bitcoin, I would have been still buying bitcoin, and since they are also buying, I just see one more place that confirms my idea as well, but it's nothing more than seeing you buy bitcoin or someone else.

Bitcoin has always been a great investment for me, so I always trusted it and I believed in it and I will continue to believe in it as well, there is nothing that can change that and we should focus on what we believe, instead of checking out what others are doing.

The rich can easily get business advice from professionals. They can afford to pay some of the sound business strategists and get the best advice from them. I will not be surprised that MicroStrategy has a team that specializes in organizing and executing the Bitcoin plans of the company. The beauty about Michael Saylor's strategy is that he has not showcased any plan to sell, his focus now is to keep buying. The company is not just making profits but gaining enormous influence in the crypto industry.

One thing is that this Billionaires has more information than we do, and secondly MicroStrategy is acquiring more Bitcoin because of the company,  and just as we've seen recently how the companies stock has skyrocketed in price,  so I would say since he has seen the positive result and impact of holding Bitcoin in his portfolio, which has in the companies recent growth, the strategy would be to buy more Bitcoin to make more gains.

To be fair, he has been doing this for a long time, did that during bear market time as well, and doing it right now too, its not really "do they know something" type of situation, he just liked bitcoin for years now and buying that for a long time. This is just another purchase, he keeps buying, he will buy more whenever he has more money to buy and that's just his method. At this point they are a software company but bitcoin became their business, they are making more on bitcoin going up than their entire business so bull run helped them a lot.

When price of bitcoin was around 15k, they didn't even had 1 billion dollars worth of it, now they have billions of dollars worth of it and that is why I believe that they are doing the right thing. It proves another thing, if you get paid a salary, keep putting in some of it into bitcoin for many years, eventually it will become something much bigger, they got rich that way and so could you, all you have to do is just do what they do but within your own budget.

Interesting question, but let me start by saying, i have noticed that it's a very common practice for people to know/question the secrets to your success even if when there isn't any secret at all. You see this MicroStrategy and Michal Saylor that we're all talking about, they understand what Bitcoin truly offers both in the present and future, and that's why they are pumping a lot of capital into it. I believe before they started the whole investment thing, they must have analyzed it well considering the fact that they where going to put people's money.

I actually started believing that MicroStrategy's investment is going to be a very long term, when they made some purchase during the recent price increase, which means they don't even consider what price bitcoin is before making purchase. So, i don't think that they are hiding anything. They just appreciate Bitcoin more than others.

Well, I don't think they know a more helpful information about bitcoin than we all know here, Bitcoin is the future, and it is still much early in its evolution, they don't want to be left out and they are taking advantage of these early days of bitcoin to accumulate future riches for themselves, which is the same thing most of us are doing now, although in smaller fractions. The opportunity is handed over to everybody, not just MicroStrategy or tesla to prioritize bitcoin and get as aggressive as we can be in accumulating it. They may have set the standards for the recent days' aggressive accumulation pattern and if we have more whales like them dive into bitcoin, $150k - $200k in this Bullrun would not be farfetched.

Interesting. If Microstrategy knows anything, this question should be forwarded directly to this company or directly to Michael Saylor. All other answers, in the absence of the above, will be just guesses and fantasies, right? How can anyone know what is in the mind of another person? Just as we can know the next steps. There is a lot of information about this company and its owner, about Saylor's passion for Bitcoin. It can also be guessed that Saylor, like each of us, wants to increase his investments and get as much profit as possible.

OP should have checked the first page of Economics before starting this thread, because the one you linked to was probably right near the top of it and there's no reason for this one to exist.  There aren't any new or even interesting questions being asked here, and if this isn't locked soon it's just going to turn into a magnet for shitposters since Economics has become a cesspool like so many other sections.

Do us a favor and practice some good forum etiquette, bro.  There's a button on the lower left hand corner of the screen that you can see, and it says "lock topic".  Please do exactly that and follow Poker Player's suggestion to engage in the MSTR/Michael Saylor chat in the thread that's been running for years.

While MicroStrategy aggressive buys on Bitcoin attract people attention, it isn't always all good things. The recent investment of 5.4 billion happened when Bitcoin hit an all-time high of nearly touch 100k. While this adds to market hype, it also increases risk, both MicroStrategy stock and their long term strategy would be under pressure. I also think that there might be a possibility that while their strategy can increase demand, this could tend to overhype, risking unsustainable price surges that would result in possible corrections.

I think that I know but in fact, I don't know. The simplified theory though behind this strategy is that the company can repay the fiat debt by selling less bitcoin in the future.


No, it's not the second, and in order to be the second needs to buy a "bit" more...



*The source that I found needs some update but I couldn't find a more accurate one. If anyone can find a newer list, please share it.

---

Let's see how many others will adopt this (Micro) strategy...

You asked as if you don't know why they are buying Aggressively. We all knows that bitcoin is the future asset treasury that will ever exist to replace Gold and many people are clamoring to make sure they have a slice of it before it supercede gold. Undoubtedly Michael Saylor is doing pretty well in accumulating bitcoin and surly I see them following Satoshi Nakamoto suits. Because if Satoshi Nakamoto HODls apparently 1m bitcoin and Michael Saylor Microstrategy is HODLing this amount then surely they may be second highest bitcoin HODLer aside Satoshi. And if they continue this they may even supercede Satoshi total amount HODLings. For me I am seeing microstrategy heading to the world richest firm with bitcoin investment expecially when bitcoin rises above $500k ish.

They know that whoever gets first, gets the most. And this is what they do. They're recalling the great gold rush that has happened in the past.

That's one comparison that we're probably having right now. So, it's two birds with one stone for them. They hit and get Bitcoin as they acquire more.

At the same time, the shares of MSTR are growing together with it.

They know beyond which we know, this is a company that always does investment for the purpose of getting profit, so do you think they will invest this much into an asset that they won’t get the profit in the long run? I don’t think so. Microstrategy have set a big example to big companies alike if they really know that. They should follow in the footstep of Microstrategy. If a big company like this can have such a big investment in bitcoin and keep adding more even when the market is on bullish trend, then why not trust in this project and also invest for the future.

Maybe they’ve seen the future much ahead of us and will likely get their share of the profits when we already ate ours. Few years ago, Microstrategy started their investment in bitcoin and it’s a great thing to see how big of a profit they’ve made over this period. What other investments can give such ROI on investment within a short time? It is bitcoin and only it can continue to give that. Anticipating for the future when it become a legal and adopted currency worldwide.

I meant something similar: the important issue seems to be that it's easier for Microstrategy to get liquidity to buy Bitcoin in bullish phases. It doesn't matter that much if he's very long term oriented like he says, or if his horizon is (secretly) a bit closer in the future, e.g. late 2020s.

The big problem of this strategy is however that it makes MSTR also vulnerable to short-term price swings because they always will buy above the average price. Let's say we have a crash in late 2025 and 2026. MSTR has already survived the 2022 crash, but there were fears of bankruptcy at one point if I remember correctly and MSTR suffered in this phase. Now let's suppose that the crash in 2026 is slightly deeper than the one in 2022. If things play out badly, the high cost of the Bitcoins Saylor bought in late 2024 and 2025 could then become a problem. If the investors demand repayment in cash of their bonds, then he may be forced to sell BTC for a loss, dipping the market further.

I can however not imagine a solution for the problem. He can't simply say: "okay, I'll buy the dips only", because he also doesn't know when and if dips happen. And if he retains the income from his notes and hodls them until the next bear market then for sure this will not be as attractive "story" for the investors. "It can only go up from now on" sells better.

In conclusion, the "rules" of the stock market (your company is higher valued when the prospects are good and thus you have more liquidity) limit the possible profitability of the MSTR model, which would be higher if he was able to buy more BTC in low-price phases, and make it also more risky. Thus I'm not really convinced of the model, it may even be an accelerator of one of the next crypto bear markets if Microstrategy is forced to sell BTC eventually.

Because the post is pure marketing and not scientific (he benefits more from MSTR increases than from BTC increases)? For me the post isn't specially "deep". I however have some doubts about the legality of such a style of communication ...

They have leverage in a more advantageous position and they will certainly take advantage of that. I don't really care about that because if bitcoin can be controlled in such a way then there should be many other people who can do what they do. They are speculating just like we are but their speculation is a little more accurate and I often hear the saying that if you have a lot of money then people will listen to whatever advice you give them even if it is sometimes not the right advice. Not only those who are targeting bitcoin at 150K per BTC or even 200K per BTC but there are many who see it realistically based on its recent price and we might as well be optimistic about it.  

Their buying Bitcoin will have no impact in the short term but in the long term it will have a huge impact.


They have been buying bitcoin consistently for years without paying attention to the price and recently bought another 55kBTC at $97.8k. It sounds like they bought at a pretty high price and if there is any significant correction they will suffer heavy losses. But that's not true, when they buy another $55k at $97k, that means they're holding 386k BTC at an average cost of just $57k for each bitcoin they buy. This means that even if the price of bitcoin drops significantly, they are unlikely to suffer a loss or incur heavy losses.



https://x.com/saylor/status/1861033309934862601

Have your keys and be your own bank... Some understand it easily and quickly, some need more time. In any case, we don't need middlemen who take too many fees for everything. To not mention that third-party services are in control of our funds, not your keys, not your coins.

Saylor just had the ability to invest more than others and he used that to increase his wealth. He seems to be doing very well so far... Of course, risk is always present, so we can say he had the balls to do what he did.

MicroStrategy and Saylor are moving with a risk business mindset. Their strategy isn't something unknown to us; it's something we know, but they're the ones actively putting it into practice. They are big adopters of Bitcoin, so now that they're heavily investing in it, the news has spread, just like we're discussing it in this forum, and the hype for Bitcoin is everywhere.

This will encourage more solo investors and companies to invest in it, increasing the demand for Bitcoin and, consequently driving the price in the market. This in turn, adds to the profit of Bitcoin, which means large holders of Bitcoin will get a lot of profit in the coming six months to a year. That means a lot for MicroStrategy and Saylor. So, this strategy they're using supports the Bitcoin market and helps it keep increasing, while equally benefiting them.
And I believe no one will invest in something they don't think has potential or won't double their investment.

We can only speculate about what Saylor/Microstrategy knows that we don't know. Personally I don't believe that Saylor knew that Trump will suddenly become pro-crypto and this will pump the BTC price to 98K USD. Saylor just placed a bet and the bet turned out to be winning.
Microstrategy will continue buying BTC as long as they have enough money to buy BTC. Maybe they will be aiming at a future Bitcoin price of 150K per BTC or even 200K per BTC. I don't know what they could possibly gain besides massive profits. Maybe they will start selling BTC to the future US national Bitcoin reserve.

You can use talkimg.com instead of imgbb.com, it's managed by our user to ensure that we won't lose images in the future.

Let's talk about MicroStrategy. I don't know what you and other users know but it's clear that MicroStrategy knows more than average Joe. MicroStrategy knows that it's better for the business to save its reserves in a currency that deflates instead of a currency that inflates. They also know that Bitcoin is the only one, truly decentralized cryptocurrency (I don't talk about Monero because there is no air for it to breath because of it's own highest anonymity standards).

Bitcoin got ETF approvals, Trump became the US president, the crypto community reacted very positively for his win, so, you know, a smart mind will buy and hold Bitcoin and the minds behind MicroStrategy are very smart.

My theory is simpler and coincides with what he says. He believes that in 21 years bitcoin will be worth at least $13M. With that perspective buying a bit more expensive or cheaper now doesn't matter, what you have to buy is as much as you can when you get the money for it.


I had an idea of what they are, the question is how it is applied here. If he refered to the bonds he issues I would understand because they have downside protection but stocks? Surely he is referring to what he has repeated several times, that 20th century assets devalue (even gold or houses, due to taxes and increased supply) while bitcoin does not, but I don't quite see why he puts his common stocks as a hedge and not bitcoin itself. He will surely explain it in more detail in a future interview.

that they are aware of the risk involved in how much they have invested and how much more they are willing to invest and are still not bothered shows that they know a thing about bitcoin and are not ready to pull out anytime soon. if the market goes down bellow certain level, they will be at a tight corner where the options available for them will be to continue buying even at the DIP, wait for the market to recover or do what we know as the last option of every investor.

MicroStrategy's believe in  bitcoin is very strong and it continues to create sentiment for investors and holders including other big whales that might be interested in starting off their investment at this time going upwards. if other whales comes in and trumps also steps it, the effect will still be favorable for him so things looks bullish for MicroStrategy for the now and the latter.

Regardless of knowing or not will it be important? I think not because in this case we have the same interest in bitcoin so we don't need to bother anything else in this case because in the end what distinguishes us from Saylor is that he really believes in bitcoin and tries to be the maximum because of the power of money he has but we are people who only set aside a small portion of the income we have for one month for bitcoin that we want to invest in the hope that it can be useful for our future or our own version of financial freedom.

He has a lot of connections and power so in the end even though he knows more than what we know it will only make us guess and make our own conspiracies, so instead of doing things like that it will be more worth it in the end we just have to focus on what we do and the goals we want to achieve.

Yes, MicroStrategy's holdings no longer have a significant impact on the price, but they do have a positive sentimental effect for investors, which I think is what they want by buying more Bitcoin at high prices.

They are actually playing a risky game, but it is still working as long as the price of Bitcoin is high and within certain limits, but if what they and we do not wish for happens and the price of Bitcoin drops significantly, then MicroStrategy will be in a very difficult position.

I think he constantly needs to be in the public eye so that the company's shares grow.

We have talked about that in the Spanish subforum too. The general mechanism seems to be that MicroStrategy can sell bonds for a very low interest rate. Then they buy Bitcoin for it. The "gamble" is basically that the appreciation of the Bitcoins they hold is superior to the interest rates, and they can use it as collateral for other assets. As the rate seems to be lower than 2% per year (if I interpret this correctly, then they're even offering 0% bonds!), the gamble works.

However I have also noticed that it seems that Saylor doesn't buy that much at the most convenient rates, e.g. in late 2022/early 2023 - he only bought slightly over 10000 Bitcoins in the year between early June 2022 and June 2023, instead having bought almost 200000, mostly for more than 50k, in 2024. My theory is that it is easier to attract investor money when the bull is already roaring, and if the gamble pays out -- i.e. if the bull markets are only a little bit similar to the earlier bull markets Bitcoin has experiencied -- then the relatively high buy price won't matter that much. So basically Saylor is going for at least $120k. Although he would be even fine if BTC stays below 100k, but substantially above 60k for several years more, because his cost per BTC according to BitcoinTreasuries is 56000 $/BTC approximately.

Helena Yu already explained Credit Default Swaps. Trying to decipher what he means: if "20th century assets" fail, MSTR is an insurance (like a CDS) for them for a value up to 100 trillion USD.

They're running some kind of IOU form of purchase, with the sell of notes to investors. So, the company doesn't need to sell more shares to get Bitcoin. Did you notice that all their holdings barely make changes in the market, or is there something I'm missing out?

They started to buy Bitcoin since August 2020 and they didn't sell when Bitcoin reach ATH in 2021, so I think they will keep holding Bitcoin until they're really big. MicroStrategy is the fastest growing company, Bitcoin make them rise from 5~ ish Billion market cap to 80+ Billion market cap. https://companiesmarketcap.com/microstrategy/marketcap/

Credit default swap is like an insurance for investors. Let's say the investors invest in X company for $1K with the return $50 per month for 3 years, in order to protect the risk of X company can't pay the return, the investors seek Y company that willing to cover the risk if X company can't pay the return/default. Y company get a fee from the investors, but they need to bear the money from X company.

No, Michael Saylor and MicroStrategy don't know anything we don't know, I think this thread might answer your question as to why MicroStrategy keeps buying Bitcoin despite all this bullishness:
Do you understand why MicroStrategy's market cap is larger than BTC holdings?

In short, they are using borrowed investor money as leverage to try to keep their stock price high so they don't lose money, or so I understand.

Overall, it seems to me the only difference between Saylor and many of us is that he walks the talk. He puts his money where his mouth is. He risks in what he believes in. Whereas, many of us are bullish only in words but actually shiver when buying a significant amount of Bitcoin.

Talk is cheap. That's for many of us. We're cheering for Bitcoin, arguing for Bitcoin, promoting Bitcoin, but only risks a little money for Bitcoin. What makes the majority different from a Michael Saylor is that the former prefers to play safe all the time while Michael is taking the risk.

At the same time, we shouldn't discount the genius of Saylor in setting up different strategies to support its Bitcoin buying spree. He issues new shares to acquire more capital to buy Bitcoin. He issues convertible notes and bonds to raise huge amounts of money to buy Bitcoin. He uses both actual money and debt to finance his Bitcoin purchases.

In this respect, he knows a whole lot more than most of us. In the end, however, all this is founded upon his belief in Bitcoin, something that all of us share. Or perhaps, indeed Saylor knows more about Bitcoin than many of us. He seems to be genuinely passionate about the technology, something many of us probably don't share. We only care about the price.

Everyone of us relies on speculation in this market, whether you are a known personality or not. No one knows the exact future of this market so we will only act on what we know so far. If you have strong belief, for sure, you will invest more.

What could they possibly know that we don’t? No one can predict the market. No one controls it. No one has authority over it that anyone or any company can get through. Whatever microstrategy saw is also something available to us. It’s just how they perceived and interpreted it would be the difference.

Clearly they knew better to invest. No tricks there or anything. They just saw potential and they were right.

Can anyone explain to me like if I was a 12-year-old what Saylor means here? Too tired now but if noone can explain it to me, I will look into it.

Basically what Saylor knows is also we what know. We believe in Bitcoin, right? he's simply believing in it as well in the long run. While many of us here probably have bought and held bitcoin for a long period of time, he's on disadvantage of purchasing it on relatively high prices.

We will never know.

But that is for sure will happen in the future, Microstrategy will surely sell at the right time. He might say in the news that they'll hold forever, there will be a point of time that they'll take nice profits but might buyback and make quick money.

I don't think Michael Saylor has any hidden information that is motivating him to keep on buying Bitcoin regardless of the price. He just has the conviction that Bitcoin is the best investment for him. He believe that the price will keep appreciating more than the cost he is paying to purchase .Some people are fascinated about gold or real estate and they keep acquiring it no matter how high the price goes.

Based on my observation I don't think Microstrategy has any current plan to stop acquiring more Bitcoin. Maybe they will stop when Saylor changes his ideology about Bitcoin or if he dies.

Since most of Microstrategy purchase is in public domain, I think their main purpose for investing is profit. Bitcoin is also becoming a symbol of economic power since we are gradually entering a phase were the it will be used as a reserve currency.

Obviously they realised Bitcoin is the future and the nature of scarce is what make the giant to accumulate as much as they can while it cheaper. People may ask 100K is not really cheap but what will happen in the next few years like a decade later if it hits 1 million then obviously 100K is nothing of that value.

One side they are propogating Bitcoin is ponzi and the bubble will burst but on the other hand it's being accumulated by rich so wakeup can for the remaining 90% to get as soon as they can before it becomes really scarce.

Not impossible I agree too, but I don't think there is still any information that is hidden from the ordinary about bitcoin that is out there that only the rich will have access to, aside from getting some financial advice from top analysts that will predict what they could make from it if they invest a certain amount in it over a given period of time. Such kind of information is open to all, but not everyone has the mind to take the risk of investing heavily in it even with the money being available.

Not impossible! Billionaires are privileged to have access to the knowledge is that are kept out of our reach. So I won't be surprised if we suddenly found out that Michael saylor knows some secrets. At least it is not impossible!

However I personally feel that Microstrategy is just bullish on Bitcoin. A lot of companies can hold assets in various sectors. While majority of them do not go out of the conventional assets, some tend to do experiments and diversify into unconventional assets. I think that's what Microstrategy has done.

Do they know something we don't and are buying aggressively?
- No, they have put revolutionary economic and finance mechanisms in place to be able to
buy as much as possible before its too late because of the increase in demand, decrease
in supply and fixed amount.

To what point will they continue this strategy and what do they expect to gain?
- probably never stop buying, the gain could be to create a Trillion-Dollar Bitcoin Bank

besides the obvious?
- I'm taking it that you believe that at some point in the future they will press the sell button
and clear their wallets before anyone else. If they do it will be for the betterment of the rest
of us because Bitcoins performance, security, utility and applications will remain.
As he has stated "Buy the property and hold it for a long time" the same as when the US
bought Alaska from the Russians for $7,200,000 - it was a steal!

No, Saylor doesn't know anything we all don't know, he knows what we all know, and he never tires of repeating it. What happens is that he puts his money where his mouth is and has devised a treasury system by which he is making a move similar to that of central banks: we can say metaphorically that he is printing money to buy bitcoin.

If you want to know more, we usually debate about it in the thread:

MicroStrategy Buys $250M in Bitcoin, Calling the Crypto ‘Superior to Cash’

Tesla and MicroStrategy are the early institutional adopters. Exchanges like Coinbase, Binance, Bitfinex are also early adopters but these are exchanges. MS on the other hand wasn't a crypto company originally but they show more interest in btc than any other company so far and that's a good thing. Imagine where would the price go if 5 more companies like MS had interest in bitcoin... $1 million/btc would be a conservative  price estimate and you know what, I think we are headed that direction.

In a couple months Trump will take command and soon other companies will join the party. Then... m^oon

Saylor sees something in bitcoin that few do not see or saw but didn’t understand; he takes the volatility feature of bitcoin to be an interesting thing, as many see it as a disadvantage; he sees it as an opportunity. The supply of bitcoin is too small for the entire world population.

Profit is one of the big reasons why any company will start investing in Bitcoin, and they see Bitcoin as being underrated and undervalued with its current price, so I consider it as them taking the opportunity to tap from the not much tapped honeypot.

They are hoping that we go well over 100k.

I suspect that he believes USA will make some very good laws for BTC next year.

simple math 400,000 x 50,000 = 20,000,000,000 close to his cost.

400,000 x 100,000 = 40 billion
400,000 x 150,000 = 60 billion
.
.
.

400,000 x 1,000,000 = 400,000 billion not impossible anymore.

Do you not know that bitcoin would be one of the world's money? It is even one now. You can send bitcoin to someone in one country to another and bypass those government regulatory rules which they use to cage their citizens. You can own bitcoin and the price will keep increase over time. No other reasons Microstrategy buys more bitcoin than knowing that the world will adopt it and the price will continue to increase.

Hello. I read today in this article that Microstrategy and its chairman, Michael Saylor, hold 386,700 BTC, thus the ~1.84% of the total BTC supply. Many of these were purchased in 2024 and at relatively high prices.



And I wonder. Do they know something we don't and are buying aggressively? To what point will they continue this strategy and what do they expect to gain, besides the obvious? Share your thoughts and opinions.