Bitcoin News Today: Michael Saylor Defends 3% Bitcoin Holdings as 160 Firms Join Corporate Adoption Trend

Michael Saylor, Executive Chairman of Strategy (formerly MicroStrategy), has dismissed concerns that the firm's Bitcoin holdings are excessive, emphasizing that owning between 3% and 7% of the total supply is a balanced strategy that still allows broader participation [1]. In an interview with CNBC on August 1, Saylor argued that the firm’s position of holding 628,000 BTC—valued at $72 billion and representing approximately 3% of the total Bitcoin supply—is not overly concentrated, particularly given that it accounts for more than half of all Bitcoin held by public companies [1].

Saylor also highlighted a significant shift in corporate behavior, noting that over 160 public firms now hold Bitcoin on their balance sheets, up from about 60 in the previous year. This movement, he noted, is not confined to the United States but includes companies from Europe and Asia, including firms like MetaPlanet (Japan), Capital B (France), and Smarter Web (UK) [1].

Beyond direct Bitcoin ownership, Saylor outlined Strategy’s efforts to build a financial ecosystem around the digital asset. The company is developing products such as Stretch, a preferred equity offering that provides a 9% annual dividend, contrasting with the average 4% yield in traditional money market instruments. Saylor attributed this yield to Bitcoin’s projected long-term appreciation of approximately 30% annually over the next two decades [1].

In addition, the firm offers products like Strike, which provides investors with 80% of Bitcoin’s upside, 20% in structured dividends, and principal protection. These instruments, Saylor explained, are designed for investors familiar with hedge funds or benchmark indices like the S&P 500 [1].

The firm also offers equity products that provide leveraged exposure to Bitcoin, including a “2x Bitcoin” structure that may appeal to derivatives traders. Saylor described Bitcoin as a digital commodity with a 50-year duration and 50% volatility, emphasizing its potential as both a long-term store of value and a speculative asset [1].

The increasing number of public companies entering the Bitcoin space suggests a growing acceptance of the asset as part of corporate treasury strategies. As Strategy continues to expand its product offerings around Bitcoin, it aims to cater to a diverse range of investor profiles, from those seeking capital protection to those willing to take on higher risk for amplified returns [1].

The firm’s approach reflects a broader trend in the financial sector, where institutional adoption of Bitcoin is accelerating. With more firms entering the market, the competitive landscape is evolving rapidly, and Strategy’s dominance in corporate Bitcoin holdings may soon face new challenges [1].

Source: [1] Michael Saylor Says Owning 628k BTC and 7% of Supply Isn't Too Much as 160 Firms Pile In - https://cryptoslate.com/michael-saylor-says-owning-628k-btc-and-7-of-supply-isnt-too-much-as-160-firms-pile-in/