Michael Saylor: Answering the Critics on mNAV, Bitcoin Per Share, and the Path to $1 Million

**Michael Saylor** (0:00)
I got very, very famous for saying, you do not sell your Bitcoin to the plebs. And on X, the Twitter trolls thought, it's pretty easy to say, the most famous guy in the world for saying, don't sell your Bitcoin, just sold some Bitcoin. They're like, oh my God, the company lost $10 billion in the past two weeks. Well, actually Bitcoin traded down $20,000 in the past two weeks, right? We have become the biggest holder of Bitcoin in the world, and we're the biggest buyer of Bitcoin in the world, and that will continue as long as we act rationally. So if you want it to 500X, if you want $20 million Bitcoin, then...

**Natalie Brunell** (0:41)
Michael, thank you for joining me here at BTC Prague. It's great to see you.

**Michael Saylor** (0:45)
Yeah, nice to see you.

**Natalie Brunell** (0:47)
So you've strapped yourself to the Bitcoin Reactor, and the ride is a little rocky right now. A lot of critics out there and trolls. Tell me how you're feeling right now.

**Michael Saylor** (0:56)
I actually think this is the most exciting year in the history of Bitcoin. What we're seeing is Bitcoin has emerged as global digital capital. There's consensus, and Bitcoin dominance continues to advance. So the Bitcoin picture in the crypto world and in the global world at large has never been clearer to me.
We've seen the evolution of digital credit. I mean, the birth of digital credit. It didn't exist a year ago, and now it exists.
And both Seda and Stretch are the two most liquid preferred stocks in the world, I think, certainly in the US capital markets. And so the success of digital credit is another area that I find very exciting. And I think the third area that I'm very excited about is the formation of digital money and digital yield. People are starting to create the equivalent of Bitcoin-backed stable coins. Instead of a stable coin that offers nothing that's backed by fiat currency, some sort of stable token that pays you 8% yield that's backed by Bitcoin that starts to circulate, you know? And so the creation of digital money markets that offer zero volatility, 6, 7, 8% yield, I think that's a revolutionary product. Digital credit is revolutionary. Of course, digital capital is is revolutionary. So so I think that's a very exciting development, maybe the most important development in the last 17 years of Bitcoin.

**Natalie Brunell** (2:34)
Well, you recently sold 32 Bitcoin after telling the market you were basically going to do so. Why do you think there was such a negative reaction even though strategy continues to be a net buyer?

**Michael Saylor** (2:46)
We didn't really see a negative reaction from our investors. There's no credit investor or equity investor that's recoiling and horrid. We've been talking about this for more than a year and for many, many years with a lot of our investors.
I think that I got very, very famous for saying, you do not sell your Bitcoin to the plebs. And on X, the Twitter trolls thought it's pretty easy to say the guy that got the most famous guy in the world for saying, don't sell your Bitcoin, just sell some Bitcoin. Now, they don't really put together the fact that that's advice to individual retail investors. And that is not the way you would run a Bitcoin finance company that actually exists to buy, sell and pay dividends on Bitcoin. So I think the Twitter trolls like to put together a couple of it and everybody's got a tension span of about 10 seconds. So if you can find someone that said, don't eat meat and then you can catch them eating meat, then it's always going to run very hard. I think that's why that went viral.

**Natalie Brunell** (3:56)
So how much of your capital markets activity is related to improving the credit rating and maybe more of that long term view to eventually get strategy in like the S&P 500 that would increase the passive accumulation of Bitcoin for so many people?

**Michael Saylor** (4:12)
Well, our company is like a Bitcoin reserve bank. So the idea of the company is you have a tower of equity of $50 billion or more of equity capital. You own Bitcoin with that equity capital, and then you issue credit against it, and we've tried lots of types of credit. We've tried bonds, senior bonds, we did asset back loans, we did convertible bonds, and we did perpetual preferred stocks. And our most successful credit instrument is STRC, which is a variable monthly, now semi-monthly preferred stock. So the company's entire existence, the whole point of the company is to create Bitcoin-backed credit, right? That's, if we weren't creating the credit, we would just be a holding company, and we would look like an ETF holding Bitcoin. That's what ETFs do. ETFs just have a bunch of Bitcoin, they're pure equity, and they trade at the price of the Bitcoin.