If you buy $100 billion worth of bitcoin, it will grow to $500 billion. It's a $500 billion dollar business growing at 20% per year. You get a return on investment of $100 billion a year, Saylor said.
Investors will see that and add $1 trillion or $2 trillion to your market value, and now the company will be valued at 60 percent on an operating basis and 40 percent on a balance sheet. The implications of such a major acquisition of a mega-tech company are huge, not to mention that it will further strengthen bitcoin's position as a major asset. Moreover, it will also increase the penetration of alpha #cryptocurrencies to institutional investors.
SnSeiler emphasized that #MicroStrategy is taking advantage of the digital revolution by acquiring #bitcoin . Notably, the company is the largest corporate holder of bitcoin, with MicroStrategy currently owning 252,200 #BTC worth about $17 billion.
The first time MicroStrategy acquired bitcoin was in 2020. At the time, former CEO and current chairman Michael Saylor argued that this strategy was the best way to preserve wealth and provide returns to shareholders.
Today, the company positions itself as a bitcoin developer, and investors are buying shares of the software company to get the world's largest digital coin at market value.
When the price of bitcoin collapsed in 2022 and the company's stock went under, skeptics accused Saylor of an aggressive bitcoin accumulation strategy. No one is laughing now, as MicroStrategy's BTC shares are worth billions more than the company paid for them.
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