#TariffsPause

+ MicroStrategy's Bitcoin Strategy: A leveraged bet with risks...

+ According to Odaily, Steve Sosnick, chief strategist at Interactive Brokers, highlighted last week that Michael Saylor's approach at MicroStrategy involves issuing convertible bonds to buy Bitcoin, essentially defining a leveraged trade — borrowing money to buy financial assets. This strategy proves to be highly effective when asset prices move favorably, as Bitcoin has been performing well. However, if prices move unfavorably, this approach can collapse harmfully. Sosnick emphasized that MicroStrategy benefits from a "self-fulfilling feedback loop." The company buys more Bitcoin, which helps drive up the price, then sells more debt and equity to buy additional Bitcoin, further increasing the price. However, these strategies do not last indefinitely and often end poorly — the question is when? In the short term, it seems that the time has not yet come.