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'MSTR Is Bitcoin Treasury Company': Michael Saylor Unveils Key MicroStrategy Plans

Published 2024-11-07, 08:57 a/m
\'MSTR Is Bitcoin Treasury Company\': Michael Saylor Unveils Key MicroStrategy Plans
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U.Today - Michael Saylor, an American businessman, CEO of software giant MicroStrategy and a well-known Bitcoin supporter, released a new post on the topic of the main cryptocurrency.

Known for his viral posts on Bitcoin, Saylor revealed today that MicroStrategy is not just a software maker but a real Bitcoin treasury company backed by BTC reserves. The entrepreneur proved his thesis with an argument in the form of a diagram that details the logic behind MicroStrategy's Bitcoin strategy.

As you can see, the essence of the scheme is that MicroStrategy, as a Bitcoin treasury, buys BTC on its balance sheet and, with these reserves, issues various securities, both leveraged and common. The securities include MSTR Options, MSTR ETFs, Spot Bitcoin ETFs and MSTR Convertible Shares, as well as MSTR Dividend and MSTR Fixed.

According to the footnote, the latter two instruments do not yet exist, and it is not yet possible to describe exactly what they entail. However, it is clear that the company has plans to share its profits, which is confirmed by the chart.

MicroStrategy, Bitcoin and Michael Saylor

MicroStrategy's Bitcoin reserves currently stand at 252,220 BTC, which at the current price of around $75,000 per cryptocurrency is worth over $18.91 billion. More than half of that is unrealized profit, while the average purchase price of a company's Bitcoin is approximately $39,266.

Undoubtedly, MicroStrategy's case will go down in history as a company that literally rebuilt itself from nothing to become not only a major global software provider but also the first Bitcoin treasury company, as Michael Saylor described it.

This article was originally published on U.Today

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