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Topic: Would you invest in BTC or MicroStrategy MSTR? - page 2. (Read 791 times)

member
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I don't know MicroStrategy that much, I've read some but I will not take a risk to the things I don't know. So I will invest in Bitcoin all the way, ever since 2017 when I started here in forum. I bought some Bitcoin before and I want to buy again, I bought a lot of things back then and I don't regret selling it and will not hesitate to buy again.
jr. member
Activity: 81
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The difference is that Bitcoin is decentralized and not controlled by a single entity. Hence, it is best to invest safely in a Bitcoin and store it in a secure wallet.
On the other hand, although I have never invested in MSTR, after doing some research, I found out that MSTR is controlled by microstrategy and is not as decentralized as BTC. Investing in MSTR is suitable for those who fear managing their portfolio on their own. Moreover, MSTR has good management and is capable of generating higher returns, but none of us know how it will perform in the future.
 So in this situation I cannot trust any third party. I like to keep my BTC in my wallet all the time.
legendary
Activity: 3276
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Understandable, and there will be those critics that will say that MSTR is a "shitcoin" because "Why is Chad Saylor not doing stock buy-backs, but he's instead he's selling MSTR to buy Bitcoin"?

Those people don't understand that buying Bitcoin for MicroStrategy's vaults INCREASES the value of MSTR for the owners of MSTR stock. Increasing value for the holders of the stock is also in fact Michael Sayor's DUTY as the executve chairman.



You didn’t get my point I am afraid. If I was a MSTR investor, I would dump my  MSTR shares the moment I heard Michael’s decision on buying btc. Like I said, MSTR is a software company. I don’t exactly know what kind of software company it is but I know that they should be making their money from making apps. Any other income they make will not be coming from their main business activity which is making apps.

TSLA is doing the same thing and it is concerning.

If they (TSLA and MSTR) want to be an investment company, they should either convert their company to an investment company or they should start another.

If I was a shareholder of KO, I would want my company to sell lots of soda and some junk food would be fine too. That's their job. They shouldn't be doing something else.

It is a bad sign for a business, it means they can't generate enough money from their main activities.
sr. member
Activity: 1680
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It is impressive that out of 23 votes no one has chosen MSTR. Just because MSTR had increased 2x gain than Bitcoin did doesn’t mean I’d leave Bitcoin for it. Bitcoin is unique and with patience, you’ll eat some really fat bone. How much is MSTR today? Has it also done what Bitcoin has done this year? There are too many reasons to rather stick with Bitcoin. One of many is that it’s an asset for everyone.
sr. member
Activity: 1274
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I trust bitcoin more than micro strategy so I would choose bitcoin in this case.  Because I am a crypto currency investor and also in Micro Street which is currently such a hot topic only by investing in Bitcoin.  If they change their decision in the future, there may not be so many discussions now.  So I will always choose Bitcoin between the two options given by you and I don't have to open any account to invest here, no documents are required.  Where else can I get better facilities than this.
newbie
Activity: 14
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If you want to have someone manage your Bitcoin investment and try to guess the ups and downs of Bitcoin better than the marketplace, while purchasing them with debt when he thinks they are a value and then slice off a chunk of your investment as a management fee, then by all means, Microstrategy is the way to go!
member
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₿itcoin maximalist
Op as you copied the sources of the information about the thread you would have copied the source of the thread as well. Where you copied the in thread. Because the author of the thread over there is KryptoBull in altcoinstalks and you username here is Vincom which is they are two different persons and not one. So you now caught with plagiarism because you didn't reference where the information is taken. Therefore I will like livesmayfamilis and others to come cross check the two threads.
Please check the time and read the Note section in AltcoinsTalks's topic, you will get the answer Smiley

I've always seen buying altcoins and stocks of cryto companies like exchanges and mining farms as adding another layer onto your bitcoin investment. By doing so you're really buying bitcoin, just with another multiplier on top of it that will lose value if the underlying asset (bitcoin) loses value, but can also lose value by itself, for instance if someone happens to the person behind it.
Let's say you have Coinbase or Microstrategy stock and the CEO gets abducted, or arrested, or is killed in an accident, the stock will plummet. Why would you need that layer of risk on top of your bitcoin?
What if bitcoin crashes? These stocks will also crash, so you don't have any immunity from bitcoin dumps, like you would have if you owned real estate or gold.
Thank you for your perspective on BTC-based stocks as a risk layer for BTC, it is really interesting. We can view them as a type of leveraged asset: they increase in price better than BTC and decrease in price worse than BTC. As with any asset or investment instrument: profit comes with risk.

Some investors will want to choose only BTC, while investors who accept more risk can choose BTC-based stocks with the expectation of higher returns. From the perspective of diversifying the portfolio to reduce risk, I think investors also have the option to invest in both BTC and BTC-based stocks.
sr. member
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R7 for Campaign management
Micro strategy is pegged to the value of bitcoin and can't be greater than it, so I hardly find any reason to be investing with then over bitcoin itself, I think those that invest in MSTR are either decived into thinking its a better option cause they can't handle their portfolio themselves and make profits from it, so they buy MSTR for safety.
Self custody is the goal to me, buy your bitcoin yourself, hold it yourself, learn all that would make it a better investment and why you need to hold for long and that way the only difference between you and micro strategy would be capital to invest.
legendary
Activity: 2814
Merit: 1192
I've always seen buying altcoins and stocks of cryto companies like exchanges and mining farms as adding another layer onto your bitcoin investment. By doing so you're really buying bitcoin, just with another multiplier on top of it that will lose value if the underlying asset (bitcoin) loses value, but can also lose value by itself, for instance if someone happens to the person behind it.
Let's say you have Coinbase or Microstrategy stock and the CEO gets abducted, or arrested, or is killed in an accident, the stock will plummet. Why would you need that layer of risk on top of your bitcoin?
What if bitcoin crashes? These stocks will also crash, so you don't have any immunity from bitcoin dumps, like you would have if you owned real estate or gold.
hero member
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Op you copy this thread from altcoinstalks forum without referencing the author over there and this is plagiarism.

Copied work thread here
The launch of a BTC Spot ETF has coincided with a significant rise in BTC price. Some believe the ETF is a major driver behind this surge, with BTC price even reaching a new ATH before the upcoming halving event - a phenomenon never seen before. Adding to the bullish sentiment, Michael Saylor's company, MicroStrategy, continues to aggressively accumulate BTC. They are even engaged in a kind of arms race with BlackRock to hold the most BTC [1, 2]. Saylor's unwavering commitment to BTC has earned him the reputation of being the most prominent "diamond hands" investor in the crypto world, surpassing even El Salvador's president, Nayib Bukele, in terms of fame.

Michael Saylor has outlined the distinctions between investing in MSTR stock and a BTC Spot ETF [3]. While he emphasizes MSTR's advantages, the question remains: for investors, which is better - MSTR, whose value hinges heavily on its BTC holdings, or BTC itself?

  • In terms of profit: MicroStrategy's investment in BTC has been highly profitable. Since starting to buy BTC in August 2020, the company's stock (MSTR) has surged over 1220%. This is a significantly higher return than the roughly 500% gain in BTC price itself over the same period. This amplified gain is due to MicroStrategy's use of debt financing to buy more BTC. This strategy, called leverage, magnifies both profits and losses. While it has driven impressive returns so far, it also increases risk if the BTC price falls.

  • In terms of credibility: some view MicroStrategy, a well-established company, as a more credible investment than BTC itself. They believe investors gain exposure not just to BTC but also to the experience of MicroStrategy's leadership [4]. However, Bitcoin's strength lies in its decentralized nature. Existing for over a decade, it operates independently of any individual, company, or government. This decentralization fosters trust for many investors, myself included, compared to a traditional public company.

While investing in MSTR could potentially offer higher returns, I prioritize self-custodying my BTC for greater control over my holdings. This means I rely on my own judgment, rather than trusting someone else's decisions, even a respected figure like Michael Saylor. Saylor has publicly stated MicroStrategy has no plans to sell its BTC [5]. However, I believe it's a question of when, not if, such a sale might occur due to unforeseen circumstances or a strategic shift by the company.


I would like to know your views on investing in BTC and MSTR:
  • Do you choose to invest in BTC or MSTR? Why?
  • Will MSTR continue to generate better returns than BTC?
  • Is an investment in MSTR safer than an investment in BTC?

References:
[1] BlackRock and MicroStrategy in Neck and Neck Race As Firms’ Bitcoin Holdings Soar to Over $29,170,000,000 in BTC
[2] Public Companies that Own Bitcoin
[3] MicroStrategy Makes Its Case as Alternative to Spot Bitcoin ETFs
[4] Is MicroStrategy (MSTR) A Better Investment Than Bitcoin? Experts Debate
[5] Michael Saylor Suggests MicroStrategy Will Never Sell Its Bitcoin

And original work or thread
BTC Spot ETF is having a huge impact on BTC price, it is even said to be the reason why BTC has created a new ATH before Halving - something that has never happened in the past. Besides, Michael Saylor's MicroStrategy company is also extremely famous for its BTC accumulation strategy and is racing against BlackRock in terms of the amount of BTC held [1, 2]. We can say that Saylor is the most famous diamond hands in the global crypto community at this time, even more famous than the president of El Salvador, Nayib Bukele.

Saylor has previously made clear the differences between investing in MicroStrategy's MSTR stock and a BTC Spot ETF, and of course Saylor points out the advantages of MSTR that a BTC Spot ETF cannot have [3]. We still have one more question: between MSTR, a stock with most of its value backed by the number of BTC held in reserve, and BTC itself, which is the better investment?

  • In terms of profit: Since MicroStrategy started investing in BTC in August 2020, MSTR has increased by more than 1220%, while BTC has only increased by about 500%. Thus, the data shows that investing in MSTR generates more profit than investing in BTC, because MicroStrategy allows investors to leverage their investment with debt, which allows MicroStrategy to amplify its gains from BTC's price appreciation.

  • In terms of credibility: Some people believe that MicroStrategy is more credible than Bitcoin because MicroStrategy is a company with a proven track record. Therefore, investors in MicroStrategy are not just investing in BTC, they are also investing in the expertise and experience of MicroStrategy's management team [4]. I disagree with this view. The Bitcoin network is decentralized and has existed for more than a decade. It is not dependent on any individual, organization, or government. I trust the Bitcoin network more than a public company.

So, even though MSTR could generate higher returns, I will still continue to self-custody my BTC instead of investing in MicroStrategy's MSTR and then putting my faith in Michael Saylor's decisions. And even though Michael Saylor has asserted that MicroStrategy will never sell BTC [5], I think the question is only "when" and not "if".


I would like to know your views on investing in BTC and MSTR:
  • Do you choose to invest in BTC or MSTR? Why?
  • Will MSTR continue to generate better returns than BTC?
  • Is an investment in MSTR safer than an investment in BTC?

References:
[1] BlackRock and MicroStrategy in Neck and Neck Race As Firms’ Bitcoin Holdings Soar to Over $29,170,000,000 in BTC
[2] Public Companies that Own Bitcoin
[3] MicroStrategy Makes Its Case as Alternative to Spot Bitcoin ETFs
[4] Is MicroStrategy (MSTR) A Better Investment Than Bitcoin? Experts Debate
[5] Michael Saylor Suggests MicroStrategy Will Never Sell Its Bitcoin

Note:
  • My opinion was posted first in that topic, on Bitcointalk
  • I leave the source link to avoid plagiarism accusation.
  • I excluded/ included minor things from an original thread if necessary.

Op as you copied the sources of the information about the thread you would have copied the source of the thread as well. Where you copied the in thread. Because the author of the thread over there is KryptoBull in altcoinstalks and you username here is Vincom which is they are two different persons and not one. So you now caught with plagiarism because you didn't reference where the information is taken. Therefore I will like livesmayfamilis and others to come cross check the two threads.
hero member
Activity: 560
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Absolutely, definitely, Bitcoin in self custody.

In my opinion, the order goes as follows:

1. Bitcoin in self custody.
2. Bitcoin in self custody is always better. Bitcoin ETFs.
3. Bitcoin in self custody is always better. Shares of individual companies that hold Bitcoin, like MSTR.
4. Bitcoin in self custody is always better. Shares of individual companies that are tied with Bitcoin, or their work is dependent on Bitcoin, like CleanSpark, Argo, Riot etc.
5. Bitcoin in self custody is always better. Bitcoin on a CEX. This is the worst option in my opinion.
hero member
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If I have the same amount to choose from between bitcoin vs Micro strategy as assets, then I will definitely choose freedom over third party because with bitcoin I will have the total control over my money and investment, and can easily move it around, if the CEO can be holding such a large amount in bitcoin, it become obviously clear that we shouldn't be mislead into choosing what he have left for what we have at hand

Investing in bitcoin is much more easier than investing in any company share, and for the other factors such as taxation and other physical factor's that can eat up your investment,  so I will choose bitcoin over any form of investment no matter what the background of the company is even though the have background experience in investment.
donator
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I think for the correct answer to this question you have to look no further than the CEO of MicroStrategy.  Michael Saylor himself is dumping shares of MSTR as fast as he can personally and using his company to buy as much BTC as possible.  If the guy running the company is selling MSTR and buying BTC, why on earth would you think it's a good idea to dump BTC to buy MSTR.  You'd literally be going against the guy that you think is such a genius.  My advice, sell your MSTR and buy BTC.  I don't think Saylor is going to be able to keep doing debt offerings to stack BTC forever.  At some point it will sting him, but probably not until 2026.
sr. member
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MicroStrategy, however big it is, is controlled by somebody which means it's centralized and which means it can be manipulated. You have no full control of your shares. Also, you'll suffer if the company makes a decision that's not favorable.
Then there's also the fact that a company can crash and you'll lose your shares.
With Bitcoin you have full control and ownership of your investment.  You can use your bitcoin as an investment and also as a currency.
For how long do you want to hold the shares? The shares might not always be up forever and there's no true guarantees that it will rise again if it goes down unlike bitcoin.
If the success of MicroStrategy is based on bitcoin, while not go straight to bitcoin instead of the shares?

I'm not saying buying the shares is wrong. It's a very advisable thing to buy their shares, but in this context, I think I'll pick bitcoin.
That is why I'll say there should be no comparison between bitcoin and shares. Theyr both different investments and not in competition. If you have the means you can have both if you want.
hero member
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If you want to control your money, your bitcoins, let's invest in Bitcoin. Then store your bitcoins in your own non custodial, open source wallets. Remember to make backups, test backups and store them safely for your wallet recoveries.

If you want to get like double benefits, you can invest in MSTR because their stocks can give you double benefits from their profitable investment in Bitcoin and profit from other products of MicroStrategy.

The warning is, with the second investment option, you will have to trust MicroStrategy and their business. You don't own your money and rely on them.
There is not really a comparison to be had as the investment options we were given are too different, as even if the stock of Microstrategy has in a way established a strong connection to bitcoin, due to the high exposure this company has towards it, at the same time the functions of both of those assets are completely different, so those that want to truly own their asset, want to be able to use it as a currency and as store of value will pick bitcoin, those that do not care about those aspects and only care about making money should pick the Microstrategy stock.
hero member
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I've read that they've bought again this plummet and that's around 9000+ BTCs again.

Do you choose to invest in BTC or MSTR? Why?
I'll choose to do it on BTC and will have my money entrusted on it than to invest on their stock that also buys Bitcoin. You see the loop there? if you can invest and buy BTC while you're going to invest to a company that continuously buys it and then the gains will mostly go to them and through their stock or share, they'll distribute that profits wherein you can maximize that profit by having BTC in your own custody.
legendary
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    • In terms of credibility: some view MicroStrategy, a well-established company, as a more credible investment than BTC itself. They believe investors gain exposure not just to BTC but also to the experience of MicroStrategy's leadership [4]. However, Bitcoin's strength lies in its decentralized nature. Existing for over a decade, it operates independently of any individual, company, or government. This decentralization fosters trust for many investors, myself included, compared to a traditional public company.


    If BTC falls, Microstrategy will fall too, ever since they started getting involved with BTC their stock became tied to BTC price. However, Microstrategy is also perfectly capable of screwing things up on their own, like dabbling into altcoins, dumping their BTC, and in general doing stupid decisions. So compared to BTC it's extra risky, since it has all the risks of BTC plus their own.
    member
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    ₿itcoin maximalist
    Microstrategy simply trades as leveraged bitcoin. In a bear market people are down on it so they sell it below the company's btc holdings. But now while people are excited about bitcoin they buy it far beyond the company's bitcoin holdings. It's a more risky, leveraged play on Bitcoin. Personally I'd rather just hold bitcoin than take on that risk. I suppose in a retirement account I would probably split some of the portfolio between Microstrategy and the ETFs. But for money not in a retirement account, money that can go anywhere, I'd rather just own Bitcoin itself. But certainly for people who want to do this leveraged sort of play you can make more than with bitcoin itself if you are buying microstrategy during bear market and selling during bull market.
    Like you, I really love BTC, but I'm not too extreme in my investment. We invest to make a profit, and any asset that has value and the potential to generate legitimate profit deserves to be on an investor's watchlist, including BTC, BTC spot ETFs, and MSTR or stocks of BTC mining companies.

    BTC can be seen as an extremely safe investment and has the potential to generate stable profits every 4 years.

    Spot ETFs are easy to participate in and have a value linked to BTC.

    MSTR is the stock of the most famous company related to BTC, even more famous than Coinbase on the stock market.

    Each investor will choose for themselves a way to allocate capital that suits their risk appetite. I don't think there is any portfolio that is perfect for everyone.
    legendary
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    Those people don't understand that buying Bitcoin for MicroStrategy's vaults INCREASES the value of MSTR for the owners of MSTR stock. Increasing value for the holders of the stock is also in fact Michael Sayor's DUTY as the executve chairman.


    In the end, it's nothing different than Bitcoin ETFs, MSTR might be more dangerous than ETFs because they don't have any rule to own Bitcoin, so they can sell the coins whenever they want.


    BUT if Chad Saylor decides to sell some Bitcoin, it would be in profit and what is his fiduciary duty as executive chairman of MicroStrategy? To increase value for the holders of the stock of the company, WHICH could mean stock buy-backs or capital allocation into other forms of investment that will be profitable for the company. Plus will he truly be a TROLL like Elon Musk? I believe not.
    legendary
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    Microstrategy simply trades as leveraged bitcoin. In a bear market people are down on it so they sell it below the company's btc holdings. But now while people are excited about bitcoin they buy it far beyond the company's bitcoin holdings. It's a more risky, leveraged play on Bitcoin. Personally I'd rather just hold bitcoin than take on that risk. I suppose in a retirement account I would probably split some of the portfolio between Microstrategy and the ETFs. But for money not in a retirement account, money that can go anywhere, I'd rather just own Bitcoin itself. But certainly for people who want to do this leveraged sort of play you can make more than with bitcoin itself if you are buying microstrategy during bear market and selling during bull market.

    I would go for owning bitcoin myself. At least, you have all the freedom what to do with your btc portfolio. And if you badly need it, you can also easily cash it out in your own time. This is also best, if you are already familiar with this market because you can do anything what you want to do with your holdings. If it is under third party financial companies, for me, treat it as not your own btc because you still need to do some transactions before you can really get it our from their hands. Do remember, "not your keys, not your coins."
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