CEO of the World’s Largest Public Owner of BTC: ‘Bitcoin Will Continue to Withstand All of Us’

On Wednesday (June 22), Michael J.

It should be noted that on August 11, 2020, MicroStrategy announced via a press release that it had “purchased 21,454 bitcoins at a total purchase price of $250 million” to be used as a “primary treasury reserve asset.”

Saylor said at the time:

Our decision to invest in Bitcoin at this time was driven in part by a combination of macro factors affecting the economic and trading landscape that we believe create long-term risks for the company’s treasury program – risks that must be proactively addressed.

Since then MicroStrategy has continued to accumulate Bitcoin and its CEO has become one of the most vocal Bitcoin advocates. MicroStrategy’s latest US dollar bitcoin purchase, which Saylor tweeted on April 5, means the company is now accumulating approximately 129,218 bitcoins, which “are acquired for approximately $3.97 billion at an average price of approximately $30,700 per bitcoin.”

Saylor’s latest comment about Bitcoin was provided during yesterday’s conversation with CNN international reporter and anchor Julia Chatterley.

Chatterly began by asking Saylor if Bitcoin could ever crash.

Saylor replied:

We are here for the long term. Bitcoin will outlast us all. I’m quite sure of that.

Then I asked if Bitcoin needed crypto space to get regulated to start rising again.

Saylor replied:

Yes, I think it’s clear that people are confused, and the regulation will be constructive because clarity will help the market to mature. People are confused about what is a currency, what is a commodity, what are securities, and what are tokens.

There are 19,000 cryptocurrencies abroad. I think we can see in the cryptocurrency crash that the average investor has been taken advantage of by random traders and crypto banks and with the regulators coming in and removing this confusion and introducing the rules of the road, it will be good for the normal investors.

It will be beneficial for companies. It will catapult the industry from offshore entrepreneurship, anything that enters a stage into a mature institutional asset class.

Chatterly then wanted to know if the risk is currently too high for retail investors to invest in the crypto market.

Saylor told her:

Well, I think the challenge is that if I waited a decade for everything to clear up, the price of bitcoin would be 10 or 100X more than this now. So, you have to choose whether you want to get in or not knowing that there are about a dozen things that will mature the asset class and make it more transparent or whether you want to wait for all of those things to happen and then pay a much higher price when it does.

On June 15, the CEO of MicroStrategy spoke about Bitcoin during an interview with David Faber and Carl Quintanilla, two co-presenters of CNBC’s “Squawk on the Street,” and senior market commentator Michael Santoli.

Faber began by asking the CEO of MicroStrategy how he felt about MicroStrategy investing around $4 billion in BTC given the current bear market (which saw $BTC drop to $20,166 from an all-time high of around $69,044, which it reached on November 10). 2021).

Saylor replied:

I think it was a net positive. We have tested our strategy again against every other alternative. If I turn back the clock to August 10, 2020, when we embarked on this journey, Bitcoin has performed 10 times better than anything else. Gold is down 10%. Nasdaq is flat. Bitcoin is up 86% since that time. Over any time frame, two years, four years, eight years, bitcoin is the top performing asset. I couldn’t come up with a better idea...

If you think of Bitcoin, if your time horizon is 1 month, it looks like a volatile risk, but if your time horizon is 10 years, it looks like a risk-free store of valuable assets. So, the crossing point is four years. No one has ever lost money investing in Bitcoin for four years.

And if you were to replace the book value of the Bitcoin network, it would be the four-year simple moving average. Bitcoin’s four-year simple moving average is around $21,685. Bitcoin has only touched this point a few times in its history, and these have always been great buying opportunities.

Santoli asked what Saylor had to say to those people who bought bitcoin on the sidelines after listening to Saylor and now find themselves “in a very negative situation.”

Saylor replied:

Look, if your time horizon is less than four years, you’re a trader, and I don’t think you should trade anything unless you’re a professional, you’re doing it for a living. If your time horizon is more than four years, you can reasonably call yourself an investor, bitcoin savers or extremists with a time horizon of 10 years or more.

So my advice to anyone investing in Bitcoin is, unless you are a professional high-speed trader and you have proprietary software, you should hold it for at least four years, and if you want to focus on something, focus on the four – general, simple moving average . It will keep you from feeling anxious, and this helps you understand our place in the asset lifecycle.

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