US-listed company MicroStrategy, the dominant holder of Bitcoin, has been continuously buying Bitcoin in recent years. With Bitcoin surging to $52,000, its holdings have gained nearly $4 billion. However, MicroStrategy’s founder and CEO, Michael Saylor, stated on the 20th that the company has no plans to sell its Bitcoin holdings.
Summary:
Michael Saylor: MicroStrategy will transform into a “Bitcoin development company”, with current BTC holdings profiting $3.5 billion.
Background:
MicroStrategy’s Q4 purchase of “31,000 BTC” achieves its largest growth in three years, with current holdings of 190,000 Bitcoins as the big winner.
US-listed software company MicroStrategy has been optimistic about the future of Bitcoin for a long time. It began long-term investments in July 2020 and has never sold any Bitcoin. So far, the company has invested a total of $5.93 billion to buy Bitcoin, with an average purchase price of $31,224.
With the surge in Bitcoin, the value of its holdings has reached $9.91 billion, with an unrealized profit approaching an astonishing $4 billion, and the company’s stock price has also risen accordingly.
Source: bitcointreasuries
MicroStrategy insists on not selling Bitcoin
As MicroStrategy’s holdings show significant profits, there is speculation about whether MicroStrategy will sell Bitcoin to cash out. However, MicroStrategy’s founder and CEO, Michael Saylor, stated in an interview with Bloomberg on the 20th that MicroStrategy has no plans to sell Bitcoin in the near future or even in the long term. They continue to have confidence in BTC.
Michael Saylor said that holding Bitcoin is MicroStrategy’s market exit strategy. With Bitcoin’s current market value surpassing $1 trillion, it is now competing with larger asset classes such as gold, real estate, and the S&P 500. However, in his view, Bitcoin is a superior product compared to all these asset classes.
MicroStrategy wants to transform into a Bitcoin development company
On the other hand, Michael Saylor mentioned the importance of the listing of Bitcoin spot ETF last week. He pointed out that the demand for Bitcoin ETF has been suppressed for a decade, and now mainstream investors can finally access Bitcoin, which has led to a large inflow of funds into ETFs. The demand for Bitcoin from ETFs is ten times the supply that miners can provide, making spot ETF a major force supporting the rise of Bitcoin.
In addition, Michael Saylor revealed MicroStrategy’s brand reshaping plan. MicroStrategy will redefine its business focus and transform into a company dedicated to Bitcoin development. He stated that this move aligns with the company’s development direction and emphasizes the success brought by the Bitcoin-centric strategy, as well as MicroStrategy’s position as the world’s largest listed company Bitcoin investor.
Michael Saylor pointed out that MicroStrategy’s business model is more diversified than traditional investment trusts, allowing the company to engage in software development, generate cash flow, utilize the capital market, accumulate Bitcoin for shareholders, and contribute to the development of the Bitcoin network.
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