Michael Saylor: Bitcoin Is the Most Reliable Asset in a Volatile World

Bitcoin’s near-term volatility matters little if one understands the fundamentals of the leading cryptocurrency and how hard it is to build something better. That is the view of MicroStrategy chief Michael Saylor in an interview with The Block.

“Bitcoin is the most reliable thing in a very unstable world. It is more reliable than the other 19,000 cryptocurrencies, than any stock, than owning property anywhere in the world,” the executive said.

In his view, only people who have invested at least $100 in bitcoin can talk about cryptocurrencies. Otherwise, they probably have nothing to say on the matter, Saylor said.

Commenting on the Terra collapse and the ensuing market correction, the MicroStrategy chief questioned whether what happened was evidence of a bear market.

“I don’t know whether it is a bear market or not, but if it is, we have had three of them in the last 24 months,” the executive said.

Saylor added that he prefers not to chase short-term prices. In his words, people who pay too much attention to charts are “reading the tea leaves”.

“If you are not planning to hold it [Bitcoin] for four years, you are not an investor at all, you are a trader, and my advice to traders: don’t trade it, invest in it,” the executive concluded.

MicroStrategy was the first publicly traded company to allocate part of its capital to digital gold. Since December 2020, the company has used debt financing to buy bitcoin.

In March 2022, MicroStrategy raised a $205 million loan collateralized by its cryptocurrency holdings. Later, its MacroStrategy subsidiary bought 4167 BTC for $190.5 million.

According to Bitcoin Treasuries, the software provider holds 129,218 BTC on its balance sheet — a little over $4 billion at the price at the time of writing.

In May, Saylor said that the company had no plans to sell bitcoins. In the same month he promised to continue buying the leading cryptocurrency.

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