According to Bloomberg, MicroStrategy CEO Michael Saylor discussed the company's Bitcoin investment strategy during an interview with Bloomberg TV. He highlighted the differences between investing in Bitcoin through exchange-traded funds (ETFs) and MicroStrategy's approach. Saylor stated that ETFs are unlevered and charge a fee, while MicroStrategy provides leverage without charging a fee, offering a high-performance vehicle for long-term Bitcoin investors.
The Tysons Corner, Virginia-based enterprise software firm has made buying Bitcoin part of its dual corporate strategy, becoming the largest publicly traded company to hold the digital asset on its balance sheet. As of November 30, MicroStrategy held approximately $6.5 billion worth of Bitcoin. Analysts expect the US Securities and Exchange Commission to authorize Bitcoin spot ETFs by mid-January.
Saylor explained that MicroStrategy can take advantage of intelligent leverage by borrowing money at zero percent interest for many years and using it to buy Bitcoin. This strategy has contributed to the company's shares surging over 300% this year, outperforming Bitcoin's rally of about 150% during the same period.
