On Dec. 01, Michael Saylor, the Executive Chairman of MicroStrategy, fulfilled his promise to present the advantages of Bitcoin to Microsoft’s (MSFT) board of executives. In just 3 minutes, he emphasized that Bitcoin represents a transformation of digital capital and urged the company to incorporate it into its balance sheet in the coming years.
Bitcoin is expected to become one of the world’s largest assets, potentially accounting for $280 trillion of global wealth in the next 20 years, surpassing gold ($45 trillion) and art ($110 trillion). Saylor pointed out that Bitcoin’s price movement has outperformed Microsoft shares by 12 times annually, indicating that Microsoft should embrace digital capital. Notably, MicroStrategy’s (MSTR) shares have soared by 3,045% since acquiring Bitcoin in recent years, while MSFT’s performance was only 103%.
In his YouTube-posted presentation, Saylor stated, “Bitcoin is the best asset that you can own. The numbers speak for themselves. It makes a lot more sense to buy Bitcoin than buy back your own stock or to hold Bitcoin rather than bonds. If you want to outperform, you need Bitcoin.”
With political support from the Trump administration and the presence of Bitcoin ETF products in the stock market, Bitcoin is likely to be widely adopted in the next few years, and Microsoft should follow suit.
Saylor gave the Microsoft board a choice: stick with the conventional financial strategy that has slow growth and higher investor risk, or innovate by embracing Bitcoin for accelerated growth. He also introduced Bitcoin24, which customizes Bitcoin products for corporations, and predicted that Microsoft shares could rise to $584 from the current price.
If Microsoft adopts Bitcoin as a strategic reserve, its market capitalization could surge between $1 trillion and $4.9 trillion per share. Moreover, the risk associated with Microsoft shares is projected to decline from 95% to 59%, and the annual recurring revenue is expected to increase from 10.4% to 15.8%.
MicroStrategy’s Bitcoin plan gobbles another $5.4b
Bitcoin dominance drop and ready to break multi-year support, analyst says
