MicroStrategy founder and chairman Michael Saylor is a well-known Bitcoin bull. He recently advised the Microsoft board and CEO Satya Nadella: "Bitcoin is the asset Microsoft should embrace most."
Blockcast reported earlier that Michael Saylor has agreed to present a 3-minute briefing to the Microsoft board to advocate for investing in Bitcoin. He recently shared a segment of the briefing on social media, stating:
Microsoft absolutely cannot miss the next wave of technological innovation, and this wave is Bitcoin.
Michael Saylor pointed out: "Bitcoin is the most important digital transformation of the 21st century and the future of digital capital."
My 3-minute presentation to the $MSFT Board of Directors and @SatyaNadella, articulating why the company should do the right thing and adopt #Bitcoin. pic.twitter.com/aHp91V9Slz
— Michael Saylor (@saylor) December 1, 2024
According to Google Finance data, Microsoft's stock price closed at $423.46 last Friday, up 0.11%, with a cumulative increase of 3.67% over the past month.
MicroStrategy's Bitcoin strategy
MicroStrategy has been aggressively buying Bitcoin since 2020 and has adopted Bitcoin as its strategic reserve asset.
As of now, the company holds 386,700 Bitcoins, worth over $37 billion at current market prices, with the latest purchase being an additional 55,500 Bitcoins last month.
Benefiting from the rising price of Bitcoin and an aggressive Bitcoin strategy, MicroStrategy's stock price has soared 465% this year. Despite closing down 0.35% at $387.47 last Friday, it rebounded 2.15% in after-hours trading.
Michael Saylor advises Microsoft: stop buying back stock and buy Bitcoin instead.
Michael Saylor further stated in his presentation that Microsoft should reassess the company's capital allocation strategy. He suggested that instead of continuously buying back stock or holding bonds, it would be better to directly purchase Bitcoin. He said:
In the past 5 years, you have given up hundreds of billions of dollars in capital, resulting only in increased risks for shareholders. If you want to escape this vicious cycle, you need to hold an asset that does not involve counterparty risk (which is Bitcoin).
He even predicts that if Microsoft can convert its cash flow, dividends, buyback plans, and debt into Bitcoin, by 2034, Microsoft's stock price could increase by $584 per share, and the company's value could potentially surge by $4.9 trillion.
Michael Saylor's advice not only highlights his firm belief in Bitcoin but also raises market curiosity about whether tech giants like Microsoft will truly consider incorporating Bitcoin into their asset allocation to pave the way for future digital transformation.
"Bitcoin is the future! Michael Saylor advises Microsoft: abandon stock buybacks and fully embrace BTC" This article was first published on (Blockcast).
