TL;DR
- Michael Saylor, co-founder of MicroStrategy, explained that his company follows a quarterly Bitcoin acquisition strategy, without reacting to short-term price fluctuations.
- Despite Bitcoin’s recent drop below $50,000, Saylor emphasized that its volatility is a positive feature that contributes to its robustness and long-term potential.
- Saylor reaffirmed that MicroStrategy will continue to acquire BTC whenever it has cash or can raise capital.
Michael Saylor, Executive Chairman and co-founder of MicroStrategy Inc., addressed the company’s Bitcoin (BTC) investment strategies and the characteristics that make this cryptocurrency a solid option for long-term capital management in a recent interview on Bloomberg Television.
Saylor, a staunch Bitcoin advocate, provided detailed insight into why his company did not make additional purchases during the recent price drop. After the downturn faced by the crypto market on August 6, BTC fell below $50,000, presenting an opportunity to buy BTC at a lower price, as its previous value was around $70,000.
During the conversation with Sonali Basak of Bloomberg Crypto, Saylor explained that MicroStrategy follows a consistent acquisition strategy, buying Bitcoin quarterly without adjusting purchases based on short-term market fluctuations. This approach is based on the belief that Bitcoin’s volatility, often seen as a weakness, is actually an essential feature that contributes to its robustness and long-term performance.
It’s Always a Good Time to Buy Bitcoin
Saylor stated that BTC’s volatility has a significant global impact, both in terms of credit and liquidity, benefiting all market participants. Unlike other assets constrained by physical and political factors, Bitcoin offers unique flexibility as digital capital. This feature allows investors to hold their investment for decades without the risk of confiscation by third parties.
The executive also addressed the common concern that Bitcoin could lose a significant portion of its value in short periods, which might make it seem like an unreliable investment. However, Saylor argued that BTC’s price variations are a reflection of its functionality as digital capital, noting that its ability to generate generational wealth and be liquidated in any amount and anywhere in the world positions it as a superior option compared to physical or traditional financial capital.
Regarding MicroStrategy’s acquisition strategy, Saylor reaffirmed that the company will continue to acquire Bitcoin whenever it has cash or can raise capital in the markets. This policy reflects a strong belief in Bitcoin’s long-term value, avoiding the temptation to time the market in response to temporary price drops. Saylor concluded that, for him, it’s always a good time to invest in BTC, much like prime real estate in key locations.
