Author: Jesse Coghlan, CoinTelegraph; Compilation: Tao Zhu, Jinse Finance
MicroStrategy chairman and Bitcoin bull Saylor told the Microsoft board that if Microsoft fully commits to Bitcoin, the company's market value could increase by nearly $5 trillion.
Saylor elaborated on why this tech giant should buy Bitcoin, using 44 slides over a little more than three minutes in front of the Microsoft board.
Saylor stated in a video shared on December 1: “Microsoft cannot miss the next wave of technology, and Bitcoin is that wave.” He urged Microsoft to convert cash flows, dividends, stock buybacks, and debts into cryptocurrency, adding:
“If you do this, your stock price will increase by hundreds of dollars. You can create trillions of dollars in enterprise value. You can eliminate the risk for shareholders.”
Saylor claims in his remarks that if Microsoft uses all its finances and debts, along with all cash flows, dividend payments, and stock buyback funds to purchase Bitcoin, then over the next 10 years, Bitcoin could increase Microsoft's stock price by $584—assuming that by the end of 2034, 1 BTC will be worth $1.7 million.
Saylor's slides claim that if Microsoft fully invests in Bitcoin, this strategy could increase Microsoft's value by $4.9 trillion. The company currently ranks third globally with a market value of $3.18 trillion, behind leading companies Apple and Nvidia.
So far this year, BTC has surged 120% (up about 40% in just the past month), reaching nearly $100,000. Since 2020, Saylor's MicroStrategy has purchased 386,700 BTC at a total price of $21.9 billion, now worth nearly $37.6 billion, with the Bitcoin price at $97,200.
So far in 2024, MicroStrategy (MSTR) stock price has soared 465.5% alongside the value of its Bitcoin holdings. Its stock peaked at $421.88 in November. According to Google Finance, the index broke the historical high that had long been maintained before the internet bubble burst in early 2000 on the 22nd.
Saylor claims that public and political support for Bitcoin is “surging,” and a “cryptocurrency renaissance” is emerging, pointing to statements supporting cryptocurrency made by incoming President Donald Trump and Bitcoin investment products launched by well-known Wall Street companies.
Saylor believes Microsoft should invest $100 billion in Bitcoin annually and claims that “buying Bitcoin makes more sense than buying back its own stock or holding bonds instead of Bitcoin.”
“What if you could acquire a $100 billion company growing faster than Microsoft for 1x revenue? What if you could do this every year?”
“Now is the time for Microsoft to evaluate its Bitcoin strategic options,” Saylor said. “Therefore, do the right thing for the world and adopt Bitcoin.”
