The listed company that converted all its cash into bitcoin

By Aristos | cryptobot | 14 Aug 2020


Who is this MicroStrategy that is active and why was this decision made? Because the economic situation is accelerating already formed trends. Opportunities and risks.

 

Nasdaq listed company MicroStrategy ( MSTR) made a big splash. Announced that it converted all its $ 250 million cash into bitcoin! He bought a total of 21,454 coins with an average purchase price of $ 11,650.

What is this MicroStrategy? Are we dealing with anything crazy, irrelevant, gamblers? On the contrary. This is a successful business with a history of 30 years in forecasting technological trends. It is considered the largest company operating exclusively in the field of business intelligence , providing software and corporate analysis services.

Its customers include big names such as Pepsi and Adidas, while IBM and Oracle are among its competitors. The market capitalization amounts to 1,3 disekatommyria  dolaria and employs 2,250 workers. With the announcement, the price of its share jumped 15% higher. Of the 123, it was immediately found at $ 142.

How did this energy come about? One fine morning looking at the company's coffers, they saw 250 million sitting down, convened the board and decided to make a risky investment decision?

As they claim, this is not the case at all. The decision came after months of exhaustive discussion and investigation. According to Michael Saylor , 55, founder and CEO of MicroStrategy, the investment reflects their belief that Bitcoin is a reliable means of maintaining value and an attractive investment asset with great potential for long-term growth.

 

According to Saylor, the acquisition of Bitcoin not only provides hedging against inflation, but also the prospect of higher returns than other investments. Leaving no room for misinterpretation, he continued: "The decision to invest in Bitcoin right now is partly due to the contribution of macroeconomic factors that affect the economic and business landscape that we believe creates long-term risks that need to be tackled prudently. Bitcoin is a digital gold. "They are harder, stronger, faster and smarter than all the money we know."

So what do we have? A listed company that decided to acquire Bitcoin as a hedge against the risk of impending inflation and as an investment vehicle with very good chances for an excellent course. How many did not come together who began to believe the same?

 

Saylor's beliefs are no different from those of Wall Street legend Paul Tudor Jones . They are exactly the same! The only difference between the two distinguished businessmen is that Jones considered it appropriate to put up to 2% of his capital in Bitcoin, while Saylor even put the coins he had in his pocket!

Let us clarify here that this is not an advertising trick. MicroStrategy does not belong to the field of cryptocurrencies. They did not add the word "blockchain" or "crypto" to their name to take advantage of fashion. They do not have products based on blockchain technology . They are just worried about the macroeconomic and business environment as it has been shaped by the pandemic and the decisions of the Central Banks.

Saylor's move will link MicroStrategy valuation to Bitcoin. If Bitcoin goes the way its supporters envision it, it will prove to be genius, not just smart.

MicroStrategy is not going to be the only company to do so. It is certain that others will follow after this. They may not put what they have in their coffers, but they will start with a small portion of their cash. The trend may take some time to strengthen, but it is a natural evolution.

The same happened with individuals. They started reluctantly converting a small part of their capital. Then they found out that the prevailing rumors about bubble or fraud or stagnant air were unfounded. They did more, studied, invested more money. There are now many who have the largest percentage of their portfolio in Bitcoin.

 

Think about it for a while. So far Bitcoin has reached the capitalization of 200 billion almost exclusively by private investors. Institutional investors and large companies that participated in its rise are very few. This huge pool of wealth is now starting to come into play.
The macroeconomic environment has accelerated developments. Investors are looking for ways to protect their personal wealth as well as that of their shareholders. Bitcoin has always served as a great tool for this purpose. At least that is what has been proven in the past.

 

Smart ways to win some coins from faucet, games and bets.

FireFaucet

Faucet Furious

Cointiply

Pitacoin

Crypto Faucet

Moon Bitcoin
Bit Fun
Bonus Bitcoin
Moon Cash
Moon Dogecoin
Moon Litecoin

 

 

How do you rate this article?


3

0


cryptobot
cryptobot

Everything aboyt your firts steps in crypto world.

Send a $0.01 microtip in crypto to the author, and earn yourself as you read!

20% to author / 80% to me.
We pay the tips from our rewards pool.