MicroStrategy CEO: Bitcoin is not a threat to the dollar

July 19, 2021

Bitcoin is not a threat to the dollar
MicroStrategy head Michael Saylor believes bitcoin is more of a digital property than a currency.

On the Coin Stories podcast, he responded to host Natalie Brunell's question about whether the first cryptocurrency poses a threat to the US dollar.

    "I would call it digital property. It is a threat to property, especially other types of property like gold and real estate. I don't think the United States government is threatened by real estate, buildings, companies or gold," Saylor said.

Regarding bitcoin's volatility, he stressed that even if the cryptocurrency collapses in the short term, MicroStrategy has no intention of selling its accumulated assets.

According to him, the main thing is to survive market downturns and FUD periods. As an example, he cited Microsoft's ex-CEO, who did not get rid of his stake in the company despite repeated price drops:

   "What genius thing did Steve Ballmer do to reach a $100bn fortune? You know, he didn't sell to Microsoft."

MicroStrategy was the first public company to convert some of its own capital into bitcoin, buying the cryptocurrency for $250m in August 2020.

In December, the firm began using not only cash but also debt capital to invest in the cryptocurrency.

MicroStrategy acquired an additional 13,005 BTC worth $489 million in late June, bringing its total digital gold holdings to 105,085 BTC. This was preceded by a $500 million senior convertible bond offering.

MicroStrategy has also announced an additional common stock issuance of up to $1 billion, which will be used to buy digital gold, among other things.

As a reminder, Saylor previously warned bitcoin traders that they will always be disappointed by the volatility of the asset, and urged them to invest the amount they are willing to lose in the cryptocurrency.

Chainlink is a platform that aims to build a decentralized oracle network. As an Ethereum ERC-20 token, Chainlink can be stored in every wallet which supports Ethereum tokens.

About the author

Hi there, my name is Zalman Weinberg. I'm enthusiast with over 7 years of experience in cryptocurrencies and blockchain. Professional Trader providing Blockchain solutions to Startups and Enterprises. Expert in all cryptocurrency exchange APIs (BitMEX, Bittrex, Binance, Bitfinex, Kraken, Poloniex, Gdax etc.). I have also worked with multiple Forex broker APIs.

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