Article reprinted from: Jinse Finance
Author: Jesse Coghlan, CoinTelegraph; Translated by: Tao Zhu, Jinse Finance
MicroStrategy Chairman and Bitcoin bull Saylor told Microsoft's board that if Microsoft fully committed to Bitcoin, the company's market value could increase by nearly $5 trillion.
Saylor explained why this tech giant should buy Bitcoin in just over three minutes using 44 slides during his presentation to Microsoft's board.
In a video shared on December 1, Saylor stated: "Microsoft cannot miss the next wave of technology, and Bitcoin is that wave." He urged Microsoft to convert cash flows, dividends, stock buybacks, and debt 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 shareholder risk."
Saylor claimed in his pitch that if Microsoft used all its financial and debt resources, along with all cash flows, dividend payments, and stock buyback funds to purchase Bitcoin, then in the next 10 years, Bitcoin could increase Microsoft's stock price by $584—assuming that by the end of 2034, 1 BTC will be valued at $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 Apple and Nvidia.
So far this year, BTC has surged 120% (up about 40% just in the past month), reaching nearly $100,000. Since 2020, Saylor's MicroStrategy has purchased 386,700 BTC for a total price of $21.9 billion, worth nearly $37.6 billion, with Bitcoin priced at $97,200.
So far in 2024, MicroStrategy (MSTR) stock price has soared 465.5% alongside the value of its Bitcoin holdings. Its stock price peaked at $421.88 in November. According to Google Finance, the index broke through 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 that a "cryptocurrency revival" is underway, 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 $10 billion in Bitcoin each year and claims that "buying Bitcoin makes more sense than buying back its own stock or holding Bitcoin instead of holding bonds."
"What if you could acquire a $100 billion company growing faster than Microsoft at 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."
