Strategy's Bitcoin Bet Pays Off With 400% Stock Surge

Michael Saylor, the CEO of Strategy, has transformed the company from a low-profile software firm into a global leader in corporate Bitcoin acquisition. The Financial Times’ new movie, “Michael Saylor’s $40BN Bitcoin Bet,” chronicles how Saylor's belief in cryptocurrency has reshaped the entire enterprise. With 568,840 bitcoins worth nearly $60 billion, Strategy’s approach has garnered attention from both Wall Street and crypto enthusiasts.

Saylor's Bitcoin journey began in August 2020 when he invested $250 million from the company's treasury reserves. This initial investment evolved into a long-term accumulation strategy. Over the following years, Strategy spent billions of dollars buying Bitcoin, making a significant bet on the future of the digital asset. The company’s valuation surged to over $100 billion in 2025 after Bitcoin’s price exceeded $100,000.

Strategy’s model is distinctive because it can raise capital many times more than the actual value of its Bitcoin holdings. The company’s stock is often traded at premiums, sometimes twice the net asset value of its crypto reserves. This gap allows Strategy to issue new shares or bonds, raise billions of dollars, and buy more Bitcoin at a discounted price.

In the period from November 2024 to January 2025, Strategy managed to raise $12 billion through equity and debt issuance and acquired more than 200,000 Bitcoins. This cyclical process of capital raising and Bitcoin accumulation has been dubbed by some investors as the “infinite money glitch.” It is a model that relies on market optimism, and for the time being, it’s working.

Strategy’s stock has risen by almost 400% in the last year, outperforming industry giants such as Apple and Nvidia. Its transformation has resulted in a loyal investor base that views the company more like a proxy for Bitcoin than a tech company. Saylor is aggressively pushing for Bitcoin adoption and believes that its price will reach $1 million in a decade and $13 million after 2045.

In early 2025, Bitcoin hit a low of $75,000 amid a wave of economic uncertainty, resulting in Strategy reporting an unrealized loss of $6 billion. The company also introduced financial products such as preferred stocks, some of which have to be paid in fixed monetary dividends, straining its liquidity.

As the movie implies, Strategy’s success is entirely dependent on the future rise of Bitcoin. If that increase stalls, the audacious financial experiment conducted by the company would come crumbling down. Saylor’s bold move to invest heavily in Bitcoin has paid off so far, but the future remains uncertain. The company’s valuation and stock performance are directly tied to the price of Bitcoin, making it a high-risk, high-reward strategy. Only time will tell if Saylor’s bet on Bitcoin will be remembered as a genius move or a financial time bomb.