in the last few months micro strategy has been stacking BTC faster than ever before it’s clear that Michael sailor’s bet on bitcoin has paid off and other companies are starting to follow suit as the US government debates creating a Bitcoin Reserve investors are quickly realizing that micro strategy has been front running them for years so today we’ll take a look at what micro strategy has been up to lately yes including its recent Rebrand and what it could all mean for btc’s price my name is Guy let’s dig in now if you’ve been following us for a while you’ll know that we like to keep you updated with micro strategy’s latest activity since it’s spearheaded by the man who is basically bitcoin’s Patron Saint Michael sailor the man who recently appeared on the cover of Forbes under the headline the Bitcoin Alchemist and yes as many have pointed out the last time a major crypto industry figure appeared on the cover of Forbes it was Sam bankman freed so let’s just hope this time is different and the curse of the Forbes cover doesn’t strike again anyway in case you missed our last update here’s a quick tldr on sailor’s company micro strategy was founded in 1989 by three MIT students Sanju bansel Thomas Spar and of course Michael sailor the company offers business intelligence Solutions providing tools to business managers to help them maximize productivity and increase their profits and for a long long time this was pretty much all they were known for in 2020 however everything changed that’s because Michael sailor took the unprecedented step of spending $250 million to buy more than 21,000 BTC despite the company having absolutely nothing to do with crypto at the time you see sailor had swallowed the orange pill when he realized he needed to protect his company’s treasury reserves from devaluing through inflation in his words quote we just had the awful realization that we were sitting on top of a $500 million Ice Cube that’s melting and if you’re wondering why not just use gold as a store of value the answer is convenience sailor has often said that BTC is superior to Gold since bitcoin’s digital nature means that it can be stored much easier and transferred anywhere around the world almost instantaneously in fact sailor is so bullish on BTC that he even stepped down from his role as CEO to become executive chairman purely so he could focus more of his time on Bitcoin now micro strategy is famous for its buy and huddle strategy which has helped it accumulate an ungodly amount of BTC an amount that has been growing at a rapid rate in recent months for perspective in our last update just a few months ago it was holding 279,000 BTC at the time of shooting this however the company now holds a whopping 47117 BTC and it’s likely that by the time you’re watching this video that number is significantly higher since sailor seems to announce a new buy every week usually it’s just as we start our Monday news live streams here on the channel we’re still waiting for that shout out Michael by the way anyway as if that wasn’t bullish enough micro strategy was recently added to the NASDAQ 100 now this is huge news because it effectively means that mainstream investors with exposure to the NASDAQ 100 also have exposure to bitcoin via micro strategy MST stock and in case it wasn’t obvious that is a hell of a lot of people and before we go any further I should add that micro strategy recently rebranded yes micro strategy will henceforth be known as drum roll please strategy well I suppose when you hold close to half a million BTC there’s nothing micro about you anymore nice inclusion of the Bitcoin symbol in the new logo as well if it wasn’t obvious before what the strategy in question was well it sure is now anyway this brings us to how micro strategy sorry sorry what strategy is able to hoard so much BTC well the company has used various funding methods to obtain it in the past when when it began purchasing BTC it simply converted its cash reserves into BTC since then strategy has resorted to other methods however primarily the company now uses convertible notes to raise the capital required to build its massive stash of Bitcoin for those wondering a convertible note is a type of debt security that’s similar to a loan which investors can convert into a company shares by offering convertible notes strategy is able to quickly raise funds from invest s allowing it to buy BTC by the bucket load now convertible notes also benefit the investor since they won’t immediately be diluted if things go south that’s because convertible notes allow investors to receive their initial investment back providing them with some downside protection now what this means is that strategy can take full advantage of btc’s price action which reflects in the company’s stock price so if BTC rallies and strategy performs well m str’s price will rally too and because strategy is essentially a leveraged play on bitcoin mst’s price is more volatile and will pump more than BTC as a result in fact mstr has significantly outperformed BTC in percentage terms since q1 of 2024 now if you watched our last update you’ll know that new strategy CEO Fong Le acknowledged that the company’s main value proposition had shifted more to towards Bitcoin and declared that strategy was now the world’s first Bitcoin treasury company or BTC very clever lay then revealed the company’s Uber bullish 2121 plan essentially this involves raising $42 billion in the 3 years between now and 2027 this $42 billion raise will be split evenly between $21 billion in equity and $21 billion in fixed rate Securities oh and by the way $21 billion was selected deliberately as a nod to bitcoin supply of 21 million BTC meanwhile the $42 billion total was a nod to 42 being the meaning of life a reference to The Hitchhiker’s Guide to the Galaxy the Geeks have truly inherited the Earth what’s crazy is that according to lay strategy’s $21 billion Equity rise will be the biggest ATM program in the history of capital markets for those unaware ATM stands for at the market and an ATM Equity program allows companies to raise money by selling new shares on the open market the company also announced a new kpi called the BTC yield which fleay describes as quote the percentage change period to period of the ratio between Bitcoin Holdings and assumed diluted shares outstanding in other words it measures how the amount of BTC per share changes from one period to the next hold up a second there guy know about strategy and how it funds its massive purchases of BTC let’s zoom in on the more recent buying activity to refresh your memory in our last update strategy was holding a total of 279,000 120 BTC with the last purchase being on the 11th of November when it bought 2 billion worth as it happens this purchase kicked off what would be the start of a weekly trend since then strategy has been going on an absolute spending spree with sailor announcing billions of dollars worth of BTC purchases every 7 days intriguingly this is the first time there’s been a clear pattern to strategies buying habits we should note though that typically strategy will purchase BTC sometime in the week before sailor makes the announcement on X so it’s worth keeping that in mind okay so let’s start with the 11th of November when strategy bought 27,00 ,200 BTC for a little over $2 billion on the 18th of November the company spent more than double that amount buying 51,70412 5th of November sailor announced that strategy had bought another 55,500 BTC for a jaw-dropping $5.4 billion this was strategy’s largest weekly purchase and was also the single largest BTC purchase by dollar value in the company’s history truly insane this means that by the end of November strategy was sitting on an impressive total of 386,000 BTC and the company had achieved a BTC yield of 35.2% as per sailor tweet or whatever it is tweets are called these days now strategy seemed to slow down a bit in December although it was still spending crazy amounts of money the next buy was on the 2nd of December when the company bought 15,400 BTC for $1.5 billion one week later sailor announced another buy of 2,550 BTC for $2.1 billion then on the 16th of December another 15,350 BTC had been bought for $1.5 billion and this is where strategy decided it was time to put the brakes on although to be fair this is perhaps understandable btc’s price had just broken above $100,000 for the first time ever on the 23rd of December strategy spent $561 million acquiring 5,262 BTC one week later on the 30th of December strategy bought 2,138 BTC for only $29 million well we say only but that is still an insane amount of money to be throwing at BTC as it hits a key zone of resistance and this brings strategy’s December total to a whopping 4464 BTC and a BTC yield of 47.8% crazy stuff and so to January which started off slow relative to the weeks prior strategy’s first purchase of 2025 was on the 6th of January when it bought a mere 1,070 BTC for a poultry $11 million this ramped up as the month went on however because on the 13th of January sailor announced strategy had raked in another 2530 BTC for $243 million sailor was then a day late for our live stream none taken Michael because 8 days later on the 21st of January he announced that strategy bought exactly 11,000 BTC for $1.1 billion and on the 27th of January an extra 10,17 BTC was bought for another 1 .1 billion so this brings strategy’s total stash as of the end of January to a mind melting $471,000 BTC which is the total it holds at the time of shooting this video notably strategy’s January BTC yield was much lower than previous kpi results at just 2.9% it’s also worth pointing out that strategy recently recorded a $670 million net loss for Q4 of 2024 well I suppose if you’re sitting on over $40 billion worth of BTC then well what’s a few hundred million between friends eh now Michael sailor’s constant buying and hodling has made strategy the biggest publicly traded company to hold BTC not bad for a company that was founded in the late 80s long before crypto was even a thing not only is this an incredible achievement but it’s also inspired other companies to follow in its footsteps for instance there’s semar scientific a company that specializes in providing Tech to healthcare providers at the time of shooting the company holds 2,321 BTC simler announced its plans to build a Bitcoin treasury Reserve in May of last year when it bought 581 BTC for around $40 million semler’s smlr stock pumped 30% in a day on the news another example is genius group an AI firm that currently holds 420 BTC genius announced a Bitcoin first strategy back in November when it made its first purchase of 110 BTC the company plans to commit an impressive 90% or more of its current and future reserves to BTC its gns stock pumped 66% in a day on the back of the announcement then there’s Rumble a video sharing platform which recently bought its first ever stack of BTC although it’s not clear exactly how much at this stage however rumble’s CEO Chris pavlovski made the announcement and said quote it won’t be the last and thanked Michael sailor for inspiring the move the company’s rum stock rallied an impressive 80% in a day on the announcement and there’s also boar interactive a gaming company based in Hong Kong Bo has been accumulating crypto since January last year namely BTC and eth what’s interesting is that towards the end of 2024 B announced it was adjusting its reserves by swapping around 14,200 e for 5115 BTC today Bo holds a total of 3,183 BTC and there’s also a load of companies looking to start stacking SATs in the coming weeks and months for example there’s Jaa Technologies a Canadian wellness and plant-based e-commerce firm that recently approved a $1 million Bitcoin treasury plan another company jumping on the bandwagon is ho Therapeutics a clinical stage biof pharmaceutical company based in New York that recently allocated $1 million for a Bitcoin reserve and more recently NOA an EV energy tech company based in San Diego announced plans to use 30% of its spare cash to buy BTC and just to spice things up there’s also Spirit blockchain Capital which has been built a reserve made up of none other than Dogecoin spirit’s goal is to create products that allow Doge to be used as payments more freely it acquired Dogecoin portfolio Holdings Corporation in October last year the company intends to expand to other altcoins and plans to use defi protocols to earn a yield on its reserves so you get the picture the point is it’s clear that many companies have kept a close eye on strategy and have seen how its mstr stock has performed alongside btc’s rally so we should probably expect to see the number of companies with BTC on their balance sheets Skyrocket in the coming months and years now speaking of crypto reserves this brings us to a question that you’ve probably wondered about already if the US creates a Bitcoin reserve of some kind how would this affect strategy well we reckon this would be insanely bullish for mst’s stock price as institutional adoption of Bitcoin continues to grow this will push btc’s price upwards and by extension mstr will pump as a result recall that mstr is essentially a leveraged play on BTC not only that but the US government’s adoption of Bitcoin would legitimize sailor’s approach of building a Bitcoin Reserve consider that the Strategic Reserve Bill currently in play would require buying 1 million BTC over the space of 5 years strategy has nearly half of that amount already this legitimacy would attract even more investors to the company’s mstr stock pushing the price even higher the catch is that two entities holding such insane amounts of BTC would restrict Supply and increase volatility that’s because there would be significantly less BTC available on the open market meaning that the remaining liquid Supply would actually be much more sensitive to any buys or sells this is especially true when you consider all the BTC that’s been lost over the years or even the 1 million BTC believed to be held by Satoshi Nakamoto so while everyone knows that BTC has a total supply of 21 million in reality the actual supply of BTC is now much lower specifically somewhere in the range of 16 million another risk meanwhile is that if the US government opts to include a range of altcoins in its Reserve this could potentially water down bitcoin’s performance it wouldn’t be long before investors started turning their attention away from BTC and towards other cryptos if btc’s price began to struggle as a result mst’s price could be at serious risk so then all of this brings us to the big question what does all of this mean for crypto well considering just how much btc’s strategy has been aping into lately and how much it plans to buy over the next few years it’s safe to say that things are looking incredibly bullish for perspective since our last update just a few months ago strategy has invested roughly $16.8 billion do in Bitcoin that is absolutely nuts and it could be even more by the time you’re watching of course this is made possible by that 2121 plan that we mentioned earlier what’s crazy though is that this means that more than a third of the $42 billion target has been raised already that said though it’s quite possible that strategy slows down its spending as the Market hype Fizzles out and it could resume buying again once the bare market returns and drives the crypto Market downwards come to think of it this plan would make the most sense since strategy would be able to scoop up as much BTC as possible we can’t even begin to imagine how big the company’s treasury would be if that happens in any case as strategy’s Bitcoin balance continues to grow this will inevitably cause other investors to feel the fomo what’s more is that it could even draw media attention creating even more fomo case in point this is exactly what sparked the 2020 bull market the irony is this would all result in even more investors buying mstr stock which would give strategy even more money to buy even more BTC this would help push up btc’s price generating even more fomo and drawing even more people to mstr and the whole process starts again it’s as if in theory sailor has found the unlimited money glitch of course there are some concerns namely that btc’s Supply could become heavily concentrated with just a few entities especially as other companies adopt similar strategies to be Frank this is almost certainly not the decentralization Satoshi had in mind when he she they created bitcoin all those years ago the caveat to this is that this was always bound to happen bitcoin’s potential is precisely why so many people helped support the Bitcoin Network back when BT was worth literally nothing so as Bitcoin took off there was always going to be one entity more bullish than the rest it just so happened to be strategy now if you found this video insightful show it by Smashing that like button it really helps the channel out and what do you think of micro strategies Rebrand should Michael sailor Rebrand himself to sailor BTC let us know in the comments and if you’re wondering what to watch next why not check out our latest video right over here thank you all so much for watching and I will see you again soon [Music]
