MicroStrategy’s stock price soared above $200, and MSTR bulls came out last week, posting insufferably about how Michael Saylor’s tech company, a dead tech company from the dot-com era, will outperform everything again this cycle.
Look, I’m not even going to start analyzing the ruling. You can continue It varies, Dan HilleryOr one of the hundreds of Bitcoin X accounts that now comprise the MSTR Bull twitterverse.
there videos, TopicsAnd of course a lot of people who prolong irresponsibly…
But the general gist is this:
- Michael Saylor decided to buy over 200,000 Bitcoins, and continue buying Bitcoins until the monetary system collapses. He will Continue to take advantage of cheap debt to do soWhich he can borrow because that’s how the legal system works, Endless money glitch.
- This will make his company more valuable than others – because it provides exposure to a valuable and rare commodity (Bitcoin), but with additional beta due to the company’s existing lucrative product suite. In other words, as Bitcoin gains in value, Microstrategy stock will appear undervalued relative to the underlying collateral.
- Since BTC won’t go to zero, and the Fed has to keep cutting interest rates (boosting stocks), this is a perfect storm for MSTR, and it will benefit from the liquidity infusion and outperform Bitcoin even as Bitcoin enters the four-year cycle… Blah blah.
This is my best attempt to replicate this thesis, I wrote it in two minutes. I refuse to even copy and edit it. The crux of the matter is companies that some people believe buying Bitcoin stocks could outperform Bitcoin for some reason, and that this is not speculation, but morally compatible Bitcoin maximization, or something like that.
maybe Dylan LeClair He can explain the math to you. He tried me several times, and I never understood anything more. The amount of Bitcoin the company has per share = good. Not splitting Bitcoin into shares = bad.
So why did you buy MSTR? Long story short, I had money in my 401(k) retirement account that I could only invest in regulated investments. (Yes, that means I own Bitcoin ETFs too.)
But that’s not really the whole story. Really, I’m tired of watching MSTR bulls being right about everything they talk about, and wanting some support to the upside. Should I have done some diligence here? Should I have some hypotheses? Shouldn’t I just be HODLING?
Maybe, but have you thought about Michael Saylor, Bull, bull, bull?