Michael Saylor Announces Strategy to Avoid Controlling Bitcoin Supply

Michael Saylor said that he does not want to own all the Bitcoin. "We want everyone to have their share," he told CNBC in an interview following Strategy's earnings report yesterday. The company currently holds 628,791 Bitcoin, equivalent to about 3% of the total supply that will exist. However, Saylor, the executive chairman, stated that this is not the end. He said: "We do not want to own it all. I don't want to either. We see Bitcoin as a source of digital capital. The business model is to accumulate digital capital and issue digital credit like preferred stock based on that capital." Strategy to expand the amount of Bitcoin held through structured services Saylor stated that initially the company aimed to raise 500 million dollars in the latest preferred stock offering, but it was increased to 2.5 billion dollars due to investor demand. "This is the largest IPO of the year," he added. The company has now completed four IPOs this year, two valued at 500 million dollars, one valued at 1 billion dollars, and the most recent one at 2.5 billion dollars. Strategy is taking that money and using it to buy more Bitcoin. "We will sell a credit instrument like Strike and buy Bitcoin," Saylor said. He explained how the company uses a multi-layered structure to attract different types of investors. He stated that the equity segment operates like Bitcoin multiplied by 2, targeting investors seeking amplified returns. Additionally, there is Strike, offering 80% profit, a 20% structured dividend, and capital protection for those who prefer hedge funds or S&P-style products. And now, Stretch has appeared, described by him as a type of "Bitcoin Treasury." It is designed for those who want low volatility, monthly yield, and capital protection — "like a high-interest savings account," Saylor said. "It competes with the money market or treasury bonds." He said that the average price of the Bitcoin held by the company is around $73,000. The idea is to eliminate volatility, remove it, and sell structured versions that traditional investors can accept. "We are refining them into securities that regular investors can buy depending on their risk tolerance and investment horizon," he said. Saylor stated that Bitcoin is replacing cash for the company's treasuries. When asked whether companies like Apple or Microsoft should hold Bitcoin instead of treasury bonds, Saylor pointed out the SEC regulations that prohibit companies from buying each other's stock. "The only security that Apple can buy is Apple stock," he said. "So, generally speaking, if you're trying to create value for shareholders, you shouldn't hold it in fiat currency. You should hold it in..." then he paused. "You should hold it in Bitcoin." He stated that Bitcoin is invading foreign real estate, private equity, public equity, and other traditional value storage channels, calling this a shift from 20th-century physical assets to 21st-century cryptocurrency. "If Mag-7 could buy each other's securities, they would benefit more," he said. "But they can't." Saylor clearly stated that even with nearly 630,000 Bitcoin, Strategy does not want to monopolize the market. "I don't think we will own it all. I don't think 3 to 7% is too much," he said, adding that BlackRock also holds similar stakes in many sectors. He also noted that Strategy began its Bitcoin journey when the price of Bitcoin was at $10,000, and now, as Bitcoin has surpassed the $100,000 mark, 97% of the supply is owned by others. "Another party, not us, is holding it," he said. The interview ended with a question about Wall Street legend Warren Buffett, who once referred to Bitcoin as "rat poison." Saylor was asked what would happen if Buffett and others dumped their treasury bonds and instead bought Bitcoin. Although Saylor did not answer directly, he maintained his point of view that fiat currency is no longer a smart investment. "You don't want to put your entire financial future in fiat currency," he said. "Or U.S. Treasury bonds."