Quote:
Originally Posted by dino7c
That's like saying what if everyone tries to take their money out of the bank on the same day...its not a realistic worry (and they don't have it anyway lol)
The top BTC holders are doing everything they can currently raise capital to acquire more bitcoin. There certainly can and will be dips but it won't be from the holders that matter for long term success. Microstrategy wants to buy 48B worth of BTC over the next three years...they would love for us to sell and get a discount.
I have been saying this for years...every "crash" just gets the finite supply into stronger hands
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Microstrategy is like a matryoshka doll. They buy bitcoin by selling bonds, which are debt. They make money on the difference, which is fine if BTC keeps going up, but a big plunge could really destroy them. The fact that their share price is almost 4x higher than the price of BTC is almost as confusing as the price of BTC itself. We've seen many many Crypto scandals and collapses over the years, I'm not sure Microstrategy is going to be the one to buck that trend. The stock's value literally only makes sense as BTC rises. The second it starts falling it should logically collapse to the price of it's Bitcoin holdings. But as long as they keep buying large amounts of BTC, it pushes the price higher. This is...circular...
I'm sure people are making lots of money on it though.