Peter Schiff's statement reflects his long-standing skepticism toward Bitcoin and crypto-related investment strategies. By criticizing companies that primarily exist to hold Bitcoin—such as MicroStrategy—he's emphasizing what he sees as a lack of intrinsic value or business fundamentals in such firms. His core argument is:
Buying shares in $BTC Bitcoin-holding companies is, to him, a step removed from actual value. These firms often trade at a premium based on Bitcoin's performance rather than their own revenue-generating capabilities.
If you believe in Bitcoin, Schiff argues you should just buy Bitcoin directly, to avoid unnecessary exposure to equity market risks or overvalued company shares.
If you're investing in stocks, he advises focusing on companies with real-world products, services, and earnings—not those whose value is tied purely to crypto holdings.
This viewpoint is consistent with Schiff's broader belief in tangible assets like gold over digital or speculative ones like Bitcoin. His comments are likely aimed at cautioning investors against what he perceives as irrational market behavior.