With bitcoin moving so stealthily over the past few weeks, it seems like several businesses are looking to get their hands on it and add it to their growing portfolios. One such company is intelligence software firm MicroStrategy Inc., which recently spent 0 million on roughly 21,000 bitcoin units.MicroStrategy Is Heading the Bitcoin GameAt the time of writing, bitcoin has suffered another disastrous drop of about 0, falling from the high ,900 range into the low ,300 range. It’s not clear if this is symbolic of where bitcoin will go in the future or if this is just a minor setback. Still, many companies aren’t taking chances. If the currency is planning to remain bullish, they want in on the action.MicroStrategy CEO Michael Saylor has announced that he’s intrigued by bitcoin
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Nick Marinoff considers the following as important: Bitcoin, Bitcoin News, Michael Saylor, MicroStrategy Inc., News
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With bitcoin moving so stealthily over the past few weeks, it seems like several businesses are looking to get their hands on it and add it to their growing portfolios. One such company is intelligence software firm MicroStrategy Inc., which recently spent $250 million on roughly 21,000 bitcoin units.
MicroStrategy Is Heading the Bitcoin Game
At the time of writing, bitcoin has suffered another disastrous drop of about $600, falling from the high $11,900 range into the low $11,300 range. It’s not clear if this is symbolic of where bitcoin will go in the future or if this is just a minor setback. Still, many companies aren’t taking chances. If the currency is planning to remain bullish, they want in on the action.
MicroStrategy CEO Michael Saylor has announced that he’s intrigued by bitcoin and is looking to explore its properties further. He has also stated that gold has piqued his interest along with several other forms of alternative investments, and he’s looking to not be so dependent on stocks. He has also stated that the U.S. dollar is fading, and that its position on the financial ladder is becoming harder to support due to several “macro factors.” He explained:
Those macro factors include, among other things, the economic and public health crisis precipitated by COVID-19, unprecedented government financial stimulus measures including quantitative easing adopted around the world, and global political and economic uncertainty. We believe that, together, these and other factors may well have a significant depreciating effect on the long-term real value of fiat currencies and many other conventional asset types, including many of the assets traditionally held as part of corporate treasury operations.
The company presently has more than $500 million in “side cash” that it can use to put towards future investments. According to Saylor, the firm only needs approximately $50 million to keep daily operations up and afloat. Discussing the bitcoin investment further, Saylor mentioned:
This investment reflects our belief that bitcoin, as the world’s most widely-adopted cryptocurrency, is a dependable store of value and an attractive investment asset with more long-term appreciation potential than holding cash. MicroStrategy has recognized bitcoin as a legitimate investment asset that can be superior to cash and accordingly has made bitcoin the principle holding in its treasury reserve strategy.
Saylor’s thoughts on bitcoin appear to reflect the thoughts of many standard traders in the crypto community as of late. With the U.S. dollar weakening each day, many have turned to bitcoin and other altcoins during this crisis as a means of keeping their portfolios stable and hedging their wealth against inflation and other harsh economic conditions.
BTC Is a Top Asset
Saylor further commented:
We find the global acceptance, brand recognition, ecosystem vitality, network dominance, architectural resilience, technical utility and community ethos of bitcoin to be persuasive evidence of its superiority as an asset class for those seeking a long-term store of value.