Wall Street Attacks Bitcoin Giant MicroStrategy and Elon Makes Cars Fly! | Simply Originals

Nico Moran (0:00)

MicroStrategy has fallen down nearly 10% in a day after Wall Street unleashed an attack on Bitcoin Treasuries. Strategy is sitting around $136 as of this morning, and Michael Saylor has a very special message. For the MSCI and the rest of the indexes, they've been outperforming. That's right, the MSCI has chosen irrelevance. What's MSCI going to do when Bitcoin hits $100K and Saylor is absolutely dominating? I'll tell you, they'll be crying tears of poverty. Massive story, we're breaking it all down. What happened? Why Strategy is crashing? And what Saylor has to say about it? Now, while the biggest Bitcoin Treasury on the planet was under attack, another one just built a flying car. And did Elon foretell what is coming for Bitcoin? Strap in. No, literally strap in. This thing goes to 60 in 0.8 seconds. The monetary equivalent of that is Bitcoin.

SPEAKER_2 (1:08)

Buy the flying car, baby.

Nico Moran (1:10)

Massive show today. Smash the like, subscribe if you're new. And with that, let's get to Michael Saylor's latest comments. GFY, MSCI.

SPEAKER_2 (1:20)

Send it.

SPEAKER_3 (1:25)

Hey, we want to switch gears a little bit, Michael, and talk about what we expect to hear from MSCI on Friday. It's considering rules that could exclude you all from its global equity indices. What kind of decision do you expect and how important is it to you?

Michael Saylor (1:42)

You know, it's not that important to us. It's a fairly de minimis amount of capital that they control.

We think their position so far has been disappointing because they're imposing prejudicial values on digital assets and deciding that, you know, oil or natural gas or land or machinery is capital but Bitcoin is not capital is a value judgment and they're acting like an unregistered financial advisor. I think it's a bad precedent for them and for the industry and I hope they reconsider it. But having said all that, digital assets are smarter, faster, stronger. They are the future. MSCI may not want to share in that future, but I think the investors will disagree and of course, the nation disagrees.

SPEAKER_3 (2:32)

Do you expect to be excluded?

Michael Saylor (2:36)

I don't have any particular expectation right now.

SPEAKER_3 (2:38)

But would you be happy if you were included?

Michael Saylor (2:43)

I think it would be good for them and good for the industry if they drop their initiative, but that's above my pay grade.

SPEAKER_5 (2:51)

At issue though, is the question of whether you or not you are a quote operating business rather than engaged in accumulating assets. Where do you view strategy is?

SPEAKER_3 (3:04)

It's a silly notion, right?

Michael Saylor (3:06)

Because insurance companies and banks, it's a silly notion because insurance companies and banks have assets and they're operating businesses. If MSCI decided that insurance company financial assets were non-operating or the bank's assets were non-operating, then they would exclude every insurance company, every bank and half the oil and gas businesses from the index.

SPEAKER_5 (3:25)

But insurance companies, to be fair, provide a service other than accumulating assets in the case of making a payout. They provide a service to customers.

Michael Saylor (3:37)

Yeah, can I answer? The insurance company is the insurance policy, and the product of the bank is banks buy credit. Our product is digital credit. So we sell a product, it pays 10-12 percent dividend yield. The insurance company sells you an insurance policy or an annuity.

All of these are finance companies, they're selling financial products, they're operating companies, they're in the index. The thing that many people miss is the digital credit is the product and you need an operating business that's actively managing its capital to create a product. Nobody doubts that JP Morgan is an operating company and they do stuff. Nobody doubts that AIG is an operating company, they do stuff.

Nobody doubts any finance company is an operating company. You have to do things with the capital. We're not a holding company, we're doing things with the capital, right? You just went into detail about how people were having an apoplectic fit about us doing things with 32 Bitcoin. The thing that we were doing was backing the credit. The credit is the product and we found a way to create the world's best credit and do it with the world's best capital. So we are an operating company. That's not really a debate in the accounting profession. The accountants agree. The SEC filings agree under SEC law. That's very, very clear.

MSCI is out on their own on this one. I don't know why, but again, not my decision.

Nico Moran (5:07)

This oppression will not stand. We will overcome. So what's the deal? Why is the MSCI racist against Bitcoin? Let's dive in. Also, both those pompous asshats interviewing Saylor. Yeah, the condescending dipshits at Bloomberg that charge people fees to use a terminal to underperform Bitcoin and MicroStrategy. You can both eat a giant festering bag of I can't stand these people. They can't do 10th grade math, but they can put on a suit. Anyway, here's what happened. MSCI, the company that decides which stocks get into some of the biggest investment benchmarks on earth, has approved new rules for kicking out what it calls non-operating companies. Translation, we have reviewed your business, Mr. Saylor. And unfortunately, you appear to be doing Bitcoin. Now, their actual argument is that some companies look more like investment funds than operating businesses. They're introducing financial screens to decide who qualifies. Strategy is in the firing line. The final affected company list comes November 11th, and the changes take effect at the close of November 30th. So the rules are approved. The final deletion list is still coming. Keep those two things separate. And here's why the stock is getting punched in the face. Funds tracking an index generally have to follow its holdings. If strategy gets removed, well those funds can become sellers because the rule book says sell. They don't call Saylor. They don't reconsider Bitcoin. The spreadsheet says you're out. And suddenly some guy named Keith is liquidating your position between compliance training and a catered sandwich. That's real potential selling pressure. And traders don't necessarily wait for the actual removal.