This Is Really Bad For Bitcoin... | Vinny Lingham & Joe Consorti

**Ran Neuner** (0:00)
That's the SDRC chart on opening, and today it hit another new low. I want to give you the exact number of the low, because it is starting to get scary.
The new low today was about $71.2, and it really does feel like SDRC and MicroStrategy may be imploding. And if they do implode, I read this tweet that says that, an unpopular opinion, MicroStrategy will ultimately and eventually do more harm to Bitcoin and Crypto than what FTX did. Now, that's not the view from someone who's looking at it now. This is a tweet from Vinny Lingham from the 16th of October, 2024 And since then, he's been very, very, very vocal about the fact that Saylor is net bad for the industry, that the way that he's buying Bitcoin and leveraging Bitcoin is gonna do more harm for the industry than good. And eventually it's going to possibly maybe even destroy Bitcoin. So I thought I'd get Vinny on and I thought I'd also add Joe Consorti to the mix here. And the reason why I wanna add Joe Consorti to the mix is because he has been a much more rational voice.
Joe is much more bullish Bitcoin. Vinnie, I think you've now turned net bearish Bitcoin. I mean, is it fair to say that you've now turned net bearish Bitcoin?

**Vinny Lingham** (1:04)
Well, so look, I don't think he's gonna destroy Bitcoin. That's a little overstatement, but I think he's gonna destroy the market for Bitcoin in the short term. And I am net bearish in Bitcoin right now because, you know, like, look, prima facie proof, right? Like, if you look at where we are today, it's 2026, it's June, and the price of Bitcoin is still stuck below 60,000, lower than it was five years ago. So for all the institutional buying, all the games that's been played, all the liquidity that he's provided, all the Bitcoin he's bought, we're still below $60,000.
And all the inflation and money printing that's gone on, at some point, we have to just admit that something broke, something's not working, and ask ourselves why. Why through the biggest money printing, you know, phase of our history in the US., literally, trillions and trillions and trillions of dollars being printed, but in both US., domestically and globally, we are still stuck under 60K with all these, with the ETS, with all the, everything has happened in the past five years, why we started 60K, something is broken. And if we don't admit that and be honest to it with ourselves, we're gonna just go down the wrong path.

**Ran Neuner** (2:10)
It sounds quite weird, because Vinnie, you're one of the people that actually got me into Bitcoin, and your enthusiasm and your passion around Bitcoin got me and a whole lot of other people infected. And now you're saying something's broken. What do you think it is that's actually broken? Why do you think that we're under $60,000?

**Vinny Lingham** (2:25)
Because it's just total market distortion and manipulation by Saylor. Saylor has been distorted this market since the FTX crash, right? Since 2022, the FTX crash, he has been the one buying up all this Bitcoin, and he has been the one basically, I would say, manipulating the price. Remember, he has this weird model for how he does things.
He sells, so think about it, he's sitting with so much money in MicroStrategy. Where did the money come from? It came from shareholders of MSDR buying overvalued stock at three times MNav at $550, and he used that money to go buy Bitcoin. He was bragging how he was selling a dollar for 30 cents basically, or rather other way around, selling 30 cents for a dollar, and how he was taking all this money in. And now as the MNav compressed, all that money is in the company, but the shareholders are the bag holders. The guys, if you bought MicroStrategy at $550, $400, $300, you're sitting with an $85 stock right now. So he's basically socialized the losses and privatized the gains inside of MicroStrategy. But he does not have a mechanism for generating income to pay the interest on all the debt he's raised. Every instrument that he's released is underwater by a lot. So he doesn't have cash flow to pay this debt. So it has to come out of either diluting more shareholders, which he can't really right now, because he's down to 1.02, or it has to come from selling Bitcoin. And if he dumps all that Bitcoin back in the market, it's going to cause a crash.
So he's really, really stuck. And he's got like 9.8 months worth of capital available to pay this. And the market is pricing this in. His debt is all now basically junk debt. It's sitting at 50% SDRC, it's 15% yields and nobody wants it. This is the problem. And we have to admit that the concentration risk of MicroStrategy and how it's affecting the markets is what's causing the problem in Bitcoin and crypto.