Michael Saylor, the founder and chairman of the board of directors of MicroStrategy, which has been making waves around the world with its Bitcoin purchase strategy since 2020, gave an interview to analysts at asset management company Bernstein. Gautam Chhugani, who is the director of digital assets at Bernstein, shared the details of the interview in a client note.
“MicroStrategy will be a Bitcoin bank”
Saylor, who stated that he sees MicroStrategy at the center of a system that creates Bitcoin capital markets products, made the following statements:
“Bitcoin is the world’s most valuable asset… The goal we want to achieve is to be a Bitcoin bank or a merchant bank… Or you can also call it a ‘Bitcoin finance company’. We aim to transform into a company consisting of convertible bonds, debt and debt instruments. The company is currently priced at a 50% premium. Our regular income is also increasing on an annual basis. Of course, volatility is also there… We aim to be a company that holds $150 billion and is priced at a 100% premium”
“Bitcoin will go to millions of dollars”
Saylor, who stated that the company is considering joining the fixed income markets after a certain level and continuing to purchase Bitcoin, spoke as follows:
“In the first stage, we want to become a $300-400 billion company and have the largest options market. Then we want to join the fixed income markets and buy more Bitcoin. Look, Bitcoin will go to millions of dollars, and we will have created a trillion-dollar company”
“It will go from 0.1% to 7%”
Saylor, who stated that they have a long-term view on Bitcoin and see it as the strongest deflationary currency, said that he thinks that the largest cryptocurrency, which currently has 0.1% of global financial capital, will also reach a rate of 7%.
He repeated his $13 million estimate
As Saylor had previously stated, his price estimate for 2045 is $13 million. The MicroStrategy founder also added that lending to governments, individuals or companies is risky, and that investing the money they borrow in Bitcoin is much more profitable and risk-free.
“Who pays 22% interest annually?”
Stating that lending to people is risky but borrowing from them can be profitable, Saylor calculated an annual interest rate of 22%:
“We can borrow from those who want to lend with an interest of 100 basis points, invest it in Bitcoin and get 30% or 50% interest. When you get through volatile periods, it becomes much easier to manage money. I think Bitcoin will increase by an average of 22% annually in the next 10 years. Who would give you an interest rate like that?