MicroStrategy Beats All Other Companies in S&P 500 With Bitcoin Strategy, Says Michael Saylor

Michael Saylor, the co-creator and executive chairman of MicroStrategy business software-making giant, visited the CNBC studio to elaborate on how Bitcoin has helped the company to reach major milestones and surpass other companies in the S&P 500 index.

MicroStrategy co-founder and executive chairman Michael Saylor visited CNBC to discuss how Bitcoin has helped propel the company to new heights, outperforming its peers in the S&P 500 index.

Here's a summary of his key points during the interview on CNBC's Squawk Box, where he shared his insights on several burning questions related to Bitcoin.

Saylor highlighted that since August 2020, MicroStrategy has acquired $8.3 billion in Bitcoin, and the cryptocurrency has appreciated by about 44% annually during that period. In contrast, the S&P 500 index has risen by about 12% each year.

Moreover, Saylor pointed out that since the company began its Bitcoin journey, its stock has surged by 825%. As a result, MicroStrategy is now the top-performing stock in the S&P index, followed by Nvidia with 821% growth. With its Bitcoin strategy, Saylor proudly noted that MicroStrategy is outperforming every single company in the S&P 50estates that MicroStrategy is beating every single company in the S&P 500 index with its Bitcoin strategy.

When asked by Joe Kernen whether MicroStrategy is doing anything else besides executing its BTC strategy, Saylor mentioned that the company is still operating its software business, which typically generates cash for them. However, the primary focus has been on accumulating more Bitcoin and allowing investors to join them by purchasing convertible bonds issued by MicroStrategy.

"We are securitizing Bitcoin," the CEO stated, emphasizing that this is their main business at the moment. According to him, the company is selling convertible bonds to those who want to participate without directly holding Bitcoin, which comes with full volatility and risk.

Saylor also highlighted that MicroStrategy has essentially pioneered the Bitcoin-backed bond market, with people trading MSTR options and the high-performing MSTR equity. He also noted that all the convertible bonds issued by the company are backed by 5x Bitcoin collateral.

Regarding the recent Bitcoin ETF outflows, Saylor commented that since Bitcoin is the most liquid asset, short-term traders are dumping it at the first sign of risk in the market. In contrast, long-term investors are holding on to their BTC. According to him, this dynamic impacts the sentiment in the BTC ETF, as many fast money traders are shorting Bitcoin.

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