Key Points
- Michael Saylor, Executive Chairman of MicroStrategy, presented the advantages of Bitcoin to Microsoft’s board of executives.
- He emphasized the transformative potential of Bitcoin and its projected growth, surpassing gold and art in global wealth.
Michael Saylor, the Executive Chairman of MicroStrategy, successfully pitched the potential benefits of Bitcoin to the board of executives at Microsoft.
This presentation took place on December 1st, and as per his commitment, he succinctly explained Bitcoin’s strategic value for Microsoft.
Bitcoin’s Potential
Saylor emphasized that Bitcoin represents a digital transformation of capital.
He suggested that Microsoft should consider incorporating Bitcoin into their balance sheet in the coming years.
He projected that Bitcoin could become one of the largest assets worldwide, accounting for $280 trillion of global wealth.
This would surpass the value of gold and art, which are expected to be worth $45 trillion and $110 trillion respectively over the next two decades.
Saylor further pointed out that Bitcoin’s price movement has outstripped Microsoft’s shares by a factor of 12 on an annual basis.
He also noted that MicroStrategy’s shares have soared by 3,045% since they started acquiring Bitcoin, whereas Microsoft’s performance has been a more modest 103%.
Embracing Bitcoin
Saylor urged Microsoft to embrace Bitcoin, stating, “Bitcoin is the best asset that you can own. The numbers speak for themselves. It makes a lot more sense to buy Bitcoin than buy your own stock back, or to hold Bitcoin rather than holding bonds. If you want to outperform, you need Bitcoin.”
He also predicted that political and market support, including from the Trump administration and Bitcoin ETF products in the stock market, will lead to wider adoption of Bitcoin in the near future.
Saylor presented Microsoft’s board with a choice: stick with the slow-growing, riskier conventional financial strategy, or embrace the future with Bitcoin and its potential for rapid growth.
He also introduced Bitcoin24 to the board, a service that customizes Bitcoin products for corporations.
He forecasted that if Microsoft were to implement Bitcoin’s strategic reserve, its shares could rise to $584 from their current price.
The company’s market capitalization could surge between $1 trillion to $4.9 trillion per share.
Adopting Bitcoin could reduce the risk associated with Microsoft shares from 95% to 59%, while annual recurring revenue could increase from 10.4% to 15.8%.
