By now this is no big news that #microstrategy is buying bitcoin. When you look at the value of their stock
there is a green pasture laying in front of them like heaven. It seems like there is no stopping for this company
to amass as much bitcoin as possible. Last month the stock was valued near $600+ and now it is heading toward #700+
I did follow this company with their focus on cloud service for other companies.
Today it is getting clearer when you talk about crypto currency, bitcoin is the main pillar. The valuation for all cryptos
accumulated to $2+ trillion and counting. For the past couple weeks BTC has been moving sideways, making ample space for altcoins
to grow and the masses favored that move more this time. Since Bitcoin is out of reach for many, they invest in anything affordable
and sometimes the return could be golden.
This is no different with Microstrategy buying bitcoin every time they have a surplus of cash.
So to get the number right the company holds 91,579 bitcoins. They started the buying spree last year. The latest round of $15 million
put the price tag of all BTC they have at $2.23 billion. Definitely daily cost average helps a lot to get the best value and return when you
hold long term. So right now they are seating with a valuation of $5.4 billion of bitcoin alone. Not bad for going all in and tell everyone you will invest some of the cash in alternatives assets.
I am wondering right now if there is another asset that can pull that gigantic return in so short time. I would say Tesla but they are already invest in BTC as well. Microstrategy found a way to pump the company valuation by holding crypto. When you buy the stock, it is another way of
buying bitcoin in the stock market at a discount price.It is like you get two for one. I think they will not stop and continue to buy more bitcoin to elevate their stock market valuation. I am not sure if they pay dividend. It is a clear statement when you take risk, you need a plan and go all in.
I read a post in #leofinance about why you should avoid diversification. The author did not advise, not to diversify your portfolio, but the point he made if you take #leo token as an example:
Leo token is going to moon you need to go all in. Yes it is risky but the return will bring a lot of profit. Long story short, the author states you need to plan and get the right information cause someone else will do it in your place. Sometimes diversification can cloud your vision of seeing the diamond on a rough. Investment is a risk where the bold taker always gets the prize. Always invest what you can afford to lose.
If you follow financial news lately and you dive in to all of it, Microstrategy is doing something out of ordinary. The cloud software they offer
to other customers valued way less than BTC they have in their portfolio. It is only 20% of the stock valuation. Hopefully they can develop more of their business to show the other side.
For now it is working for them. Not sure for how long. When you take such risk few things need to work for them to remain successful. Bitcoin needs to continue the trend to $100k. They need to continue buying more to consolidate the alternate asset class.
So far they are on the winning side. The risk factor is there. As long more companies jump into the bandwagon of having crypto as alternative assets, Microstrategy will reap a hefty reward. Lately the term regulation is being thrown everywhere. As long governments get their fair share
with everyone managing crypto, this should be the end of the tunnel and crypto will thrive as the new form of currency. Institutional investors
are helping big time and this is a trend Micheal saylor has seen and push for his company.
You may not be able to follow its route. Crypto is a long term project to rest your funds and grow your nest eggs. The traditional system is taking a beating as we speak. The $2 billion they invest in bitcoin could be place in the traditional system but it is in crypto. This is a sign
to come where you can put your reserve in crypto just like them to preserve wealth. The story of the banks are fading away and they know that too well. If you plan to go all in, I know you have your reason. It is getting clearer that having control of your funds is a way worth considering.
Keep stacking satoshis.
