Ever wondered why some investors prefer $MSTR over just holding Bitcoin? Strive CIO Jeff Walton recently broke down the "secret sauce" that makes MicroStrategy more than just a proxy—it's a high-speed engine for accumulating satoshis.
Here is why the math works even when the market gets ugly. 👇
🛠️ The "Operating System" for BTC
Walton argues that $MSTR isn't just leverage; it’s a system. While Bitcoin is a "bearer asset" (you own it, it sits there), MicroStrategy uses the stock market to compound its Bitcoin per share.
The Goal: Increase the amount of Bitcoin backing every single share you own.
The Method: Using "accretive dilution"—issuing new shares or cheap debt to buy Bitcoin at a rate that benefits existing holders.
📉 The "Down Bad" Test
Walton shared his personal journey from 2021:
Bought in: June 2021 (at 2.5x NAV).
The Pain: The stock crashed 80% from his entry.
The Result: By 2025, the "floor" (NAV) of his shares had risen 160%.
The takeaway? The company’s capital structure de-risked his investment over time, even through a brutal 90% drawdown. 💎🙌
📊 2025: By The Numbers
MicroStrategy (now officially Strategy Inc.) reached massive milestones this year:
Metric 2025 Status
Total BTC Holdings 672,497 BTC 🚀
BTC Yield (YTD) ~26% (Targeting 30%)
Market Position 12x larger than the next public holder
⚠️ The Bear Case
It wasn't all sunshine. In the second half of 2025:
$MSTR became the worst-performing Nasdaq-100 stock, dropping 65% from its peak.
Critics like Peter Schiff argue the strategy only works in a permanent bull market.
The stock recently traded near 1x NAV, meaning the "premium" vanished during the winter.
🔮 Looking Ahead to 2026
Michael Saylor is already pivoting the narrative. The focus for 2026 isn't just price—it's Bank Adoption. As large US banks explore partnerships, the goal is to turn $MSTR into the "Bitcoin Bank of the Future."
💡 Bottom Line: If you believe in the "machine," volatility is just fuel for the next buy. If you just want the coin, stick to spot.
What’s your play? Are you team $MSTR or team Spot BTC? Let us know below! 👇
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