This wave of BTC approaching 90,000 and 100,000 dollars is largely contributed by MicroStrategy!

MicroStrategy's bond issuance is quite interesting. Over the past few years, it has issued a type of convertible debt. This convertible bond is interesting; let’s take an example: the bondholder has the right to convert their bonds into MSTR stock, and it is divided into two phases:

1. Initial Phase:

1.1 If the trading price of the bond drops >2%, the bondholder can exercise their option to convert the bond into MSTR shares and sell to recoup their investment; 1.2 If the trading price of the bond is stable or even increases, the bondholder can sell the bond in the secondary market at any time to recoup their investment.

2. Later Phase:

When the bond is about to mature, the 2% rule no longer applies; the bondholder can take cash and leave, or directly convert the bond into MSTR stock. Let’s analyze this; for bondholders, this is generally a risk-free business.

If Bitcoin drops and MSTR has cash, the bondholder can get cash back. If Bitcoin drops and MSTR has no cash, the bondholder still has a final safety net, which is to convert to stock for cash recovery. If Bitcoin rises, MSTR will rise, and the bondholder, giving up cash, can still obtain more stock returns. In short, this is a trade with a high lower limit and a very high upper limit, so naturally, MicroStrategy successfully raised funds. Fortunately, no, one should say loyally, MicroStrategy chose Bitcoin. Bitcoin did not disappoint it.

By now, you should have understood MicroStrategy's magic: buy Bitcoin → stock price rises → borrow more to buy Bitcoin → Bitcoin rises → stock price further rises → take on more debt → buy more Bitcoin → stock price continues to rise → issue more shares to sell for cash → buy more Bitcoin → stock price continues to rise… presented by the great magician MicroStrategy. by oxtodd…#比特币关键区间 #PCE与美联储纪要公布在即