Fresh off crunching the numbers and wrapping up performance reports for a variety of portfolios, I stumbled upon this Bloomberg article about Bitcoin and let us just say, it grabbed my attention faster than a sudden market rally or crash.
Regardless of his comments, our strategic allocation to digital assets is a move I’m confident will pay dividends in the long run or, as we like to say, it is a bet on the future that we are more than happy to hold.
Here is a section:
Companies should buy Bitcoin because bonds are “toxic,” according to MicroStrategy Inc. co-founder and Chairman Michael Saylor.
Saylor compared returns in Bitcoin and bonds since 2020, noting that the crypto asset has gone up since the company adopted its Bitcoin-buying strategy while bonds have declined, according to a slide in his presentation at the ICR Conference in Orlando on Monday.
“It works for any company,” Saylor said in the retail conference’s keynote speech, addressing a standing-room only ballroom full of executives and investors. “Every company has a choice to make: Cling to the past by purchasing Treasury bonds, executing buybacks and dividends, or embrace the future by using Bitcoin as digital capital,” Saylor said.
The remarks came after MicroStrategy’s latest disclosure about its Bitcoin purchases, reporting a purchase of $243 million of the crypto asset, the 10th consecutive weekly purchase.
“We’re the people building with steel and they’re building with wood,” Saylor said, chiding companies including Microsoft Corp., who he pitched to invest in the cryptocurrency, as well as Nvidia Corp., for not following MicroStrategy’s lead. A slide in his presentation showed that 70 companies hold Bitcoin.
“What’s the downside? Well, you just get rich,” Saylor said.