During a CNBC interview, MicroStrategy executive chairman Michael Saylor supported the idea of the US having a strategic reserve of Bitcoin (BTC), pointing out the advantages of such a move for nations and companies. He stated that Bitcoin is a stable digital asset that can radically shift the paradigms of economic strategies. This endorsement comes at the same time as Bitcoin prices have rebounded, increasing by more than 5%.
Michael Saylor Champions US Bitcoin Reserve Plan
The recent price increase of Bitcoin by over 5% supports Michael Saylor’s strategic insights. He pointed to the Bitcoin 2024 conference in Nashville as a critical event for the sector, underlining the increased adoption of cryptocurrencies. Michael Saylor noted that the conference attracted such high-profile individuals as presidential candidates and CEOs, which, in his opinion, indicates that a significant change in the industry has occurred.
Also, Saylor appreciated the recent development of Senator Cynthia Lummis’ Bitcoin reserve bill in the Senate. He compared this legislative action to other key economic actions in the country’s history, including the Louisiana Purchase, stating that it could have the same impact on the country’s financial system. The bill suggests forming a Bitcoin reserve to fight national debt with an annual purchase of 200,000 BTC for the next five years.
Saylor Advocates Bitcoin for National Reserves
Michael Saylor focused on the inherent nature of Bitcoin and said that it is a scarce and valuable asset similar to owning prime real estate.
”Bitcoin is not just a currency; it is the basis for the new economies of the future,” he said.
This view aligns with his proposal for including Bitcoin in the country’s strategic reserves, arguing that it is suitable for storing value for extended periods due to its scarcity.
He also discussed Bitcoin’s decentralization, stating that the value of assets as property is greater than the issues of government interference. According to Saylor, leveraging digital assets to advance national economic plans is better. He dismissed the limitations of traditional financial systems and called Bitcoin a 24/7 modern financial instrument that redefines access and effectiveness.
Traditional finance operates 19% of the time. Capital, like air & water, should be available 100% of the time. #Bitcoin is available to everyone, everywhere, all the time. pic.twitter.com/W3RO7CRq8V
— Michael Saylor⚡️ (@saylor) August 6, 2024
MicroStrategy Plans More Bitcoin Acquisitions
MicroStrategy intends to acquire more Bitcoin by raising equity and convertible debt and using operating cash flows. Michael Saylor outlined the firm’s approach to expanding its Bitcoin per share, which the CEO thinks will create shareholder value.
”Our shareholders believe that the more Bitcoin per share the company holds, the better,” he said.
However, MicroStrategy’s core business has been criticized regarding its performance in the market. Saylor explained that the industry is solid enough to support its Bitcoin acquisition plan. He emphasized the firm’s strength as an operating company with the capacity to manage flexible capital and cash flow, distinguishing it from other trust companies. Says Saylor, this shall strengthen the company’s standing in the digital asset economy, synchronising with the changing financial systems worldwide.
Also Read: Metaplanet Secures $70M to Expand Bitcoin Portfolio Through Offering
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