Microsoft should abandon bonds and embrace Bitcoin! Saylor's astonishing suggestion ignites the financial world
Michael Saylor, CEO of MicroStrategy and a staunch supporter of Bitcoin, has made a shocking proposal — Microsoft should swap its conservative bond investments for Bitcoin. Saylor believes that Bitcoin is 'digital capital' capable of providing higher returns than bonds and effectively combating inflation.
Comparison of Bitcoin and Bonds:
Saylor pointed out that Bitcoin has had an annual return rate of up to 53% over the past five years, while Microsoft's return during the same period was only 6%. In contrast, the return rate of bonds is even lower, with the possibility of negative yields eroding capital. He emphasized that Bitcoin's fixed supply and independent monetary policy make it an ideal tool for modern companies to counter market downturns and inflation.
Saylor puts his money where his mouth is, MicroStrategy aggressively buys Bitcoin:
MicroStrategy continues to adhere to Saylor's strategy and has recently made significant purchases of Bitcoin, with total holdings reaching 555,450 Bitcoins, and a market value skyrocketing over 8650%. Saylor believes that if Microsoft allocates some funds to Bitcoin, it could potentially increase its enterprise value by $5 trillion within five years.
Why is Microsoft hesitant?
Despite Saylor's tempting proposal, Microsoft's board is concerned about the high volatility of Bitcoin and regulatory uncertainties, and insists on its stable investment strategy. In 2024, only 1% of the cash in Microsoft's shareholder proposal for Bitcoin investment was rejected, with the board deeming the risks of Bitcoin too high.
Conclusion:
Although Microsoft has chosen a conservative investment path, Bitcoin, with its exceptional return rate and potential for decentralized finance, is gradually challenging traditional investment methods. Saylor's perspective is worth serious consideration by all major corporations.