Michael Saylor Proposes 5%-25% Bitcoin Reserve for U.S. by 2035

Michael Saylor, the co-founder and chairman of Strategy, has put forth a groundbreaking proposal to the White House, advocating for the establishment of a strategic Bitcoin reserve. This initiative aims to bolster the U.S. economy by acquiring a substantial portion of the total Bitcoin supply, ranging from 5% to 25%, by 2035. Saylor's calculations suggest that this move could generate an impressive $16 trillion to $81 trillion in national wealth by 2045, potentially alleviating the national debt and reinforcing the U.S. Dollar's global trade dominance.

Saylor's proposal is part of a comprehensive crypto strategy presented at the White House Digital Assets Summit. He categorized digital assets into four distinct classes: Digital Tokens for capital creation, Digital Securities for market efficiency, Digital Currencies to bolster the Dollar’s global role, and Digital Commodities like Bitcoin for wealth preservation. Saylor argued that a well-structured approach to digital asset regulation could reduce market uncertainty, integrate cryptocurrencies into traditional finance, and solidify the U.S. Dollar’s position amidst growing de-dollarization efforts.

To back his vision, Saylor has announced a $21 billion capital raise through the issuance of Strategy’s 8.00% Series A Perpetual Strike Preferred Stock. The sales agreement, filed with the U.S. Securities and Exchange Commission, allows the company to issue shares under an at-the-market program, gradually selling them over time. The net proceeds from this offering will be used for corporate purposes, including large-scale Bitcoin acquisitions and working capital. The offering will be conducted through 12 financial institutions, which will manage stock sales on the Nasdaq Global Select Market under the ticker 'STRK.' The preferred shares are convertible into Strategy’s Class A common stock, offering flexibility for institutional investors.

Saylor's long-term vision involves the U.S. acquiring a significant portion of Bitcoin’s total supply, which he believes could provide a substantial economic boost. He emphasized that a strategic Bitcoin reserve could not only generate trillions of dollars in wealth but also serve as a hedge against inflation and economic uncertainty. By integrating Bitcoin into traditional finance, Saylor believes the U.S. can maintain its economic leadership and mitigate the risks associated with de-dollarization efforts by other nations.

Saylor's proposal has garnered significant attention for its potential to reshape the U.S. economy and its approach to digital