MicroStrategy Founder Michael Saylor Reaffirms the Importance of Bitcoin
Michael Saylor, the founder of MicroStrategy, reiterated the significance of Bitcoin in a recent interview, analyzing the factors influencing its use based on corporate structure and the personality traits of CEOs. He also opposed the idea of “staking” Bitcoin, stating that what companies can do now is to “securitize Bitcoin.”
Why Bitcoin is a “Lifeline” for Enterprises
Saylor described the current financial state of enterprises as akin to “a Type 1 diabetic,” with Bitcoin being the “insulin that saves the patient.” He pointed out:
- Using short-term U.S. Treasury bonds as corporate assets can only yield an annual return of 2-3%.
- However, the actual cost can be as high as 10-15%.
- This results in an annual loss of 10%.
In contrast, the long-term average return of Bitcoin far exceeds the “cost of capital” for businesses, representing the first time in a century that enterprises have access to an asset option that can truly preserve and increase value.
Traits of CEOs Who Adopt the Bitcoin Standard
Saylor stated, “CEOs considering the Bitcoin standard do so not out of a desire for innovation, but because they have no other choice.” He cited examples such as yoga studios forced to close during the pandemic and mid-sized companies crushed by tech giants, which represent the typical scenario of “no way out, only a gamble.”
“Bitcoin has inspired these businesses without options to summon the courage to bet on their lives and careers,” Saylor emphasized.
Board Resistance Can Be Overcome with Determination
Saylor shared that the key three individuals for implementing the Bitcoin standard in a company are:
- The CEO
- The CFO
- The General Counsel
“Sometimes, if just one board member opposes, everything can come to a halt.” He advised that if board members cannot understand, they should be replaced.
Global Enterprises Are Joining the Movement
According to Bitwise data, approximately 80 publicly traded companies currently hold Bitcoin, totaling nearly 700,000 coins with a market value of about $57 billion.
In addition, Japan’s MetaPlanet and Hong Kong’s Wisdom Technology are actively joining the ranks of companies holding Bitcoin, reflecting that this trend transcends cultural and geographical boundaries.
Bitcoin Securitization Becomes Key, Without the Need for Staking Mechanisms
Saylor stated that his company’s positioning is as a “Bitcoin financial company,” attracting investors with various instruments such as:
- Securities
- Convertible bonds
- Preferred stocks
- Warrants
He emphasized:
“Bitcoin itself is a high-value collateral that can generate returns without the need for complex DeFi or staking mechanisms.”
On the Use of Bitcoin as a Medium of Exchange
In response to Jack Dorsey’s assertion that Bitcoin must become a medium of exchange to achieve mainstream adoption, Saylor argued:
“Gold, real estate, and artwork are not mediums of exchange, yet they can generate trillions of dollars in value. Bitcoin is sufficient as a store of capital.”
Only Those with No Alternatives Will Adopt Bitcoin
While institutions like the Czech National Bank have publicly expressed intentions to hold Bitcoin, Saylor stressed that whether for countries, enterprises, or individuals, “it will only be the most desperate and those with no alternatives who will adopt the new standard.” He indicated that the pace of national entities entering the market will be much slower than that of enterprises, but the battle for capital preservation has already begun.
Bitcoin: Not Just a Financial Reporting Option, But the Helm of the Capital Era
Finally, he stated that for enterprises, holding Bitcoin is not about “speculating to get rich,” but rather to avoid being consumed by inflation and capital erosion. The Bitcoin standard represents a new contract regarding sovereignty, stability, and freedom, which will be signed first by the boldest entrepreneurs.
Risk Warning
Investing in cryptocurrencies carries a high risk, and their prices may be highly volatile, leading to potential loss of your entire principal. Please evaluate the risks carefully.