Michael Saylor, who has made a name for himself in the Bitcoin field for years, is taking a step back from the “never sell” approach he has implemented so far. According to Saylor’s new approach, the only goal is no longer just to accumulate Bitcoin; A more flexible and result-oriented capital management era is being initiated with the formula of “selling more than you buy”. Recent developments show that the company is at a turning point.
Parity problem and balance sheet pressure
The main reason for this change in the company’s strategy was revealed with the latest financial results. With the loss of value of Bitcoin assets, the company announced a net loss of $ 12.54 billion; This works out to $38.25 per share. In addition, when the price of the company’s crypto-based private stock STRC fell below the $ 100 parity since April 15, the opportunity to buy Bitcoin through the issuance of new shares was eliminated. This situation caused the mechanism, which was seen as the “money printing machine” in the company, to stop for a while.
In response, Michael Saylor made a sudden change of tack and raised cash by selling regular MSTR shares through the company’s ATM program. However, this step means that no new Bitcoin purchases have been made over the past week.
New capital management principles
The company’s CEO, Phong Le, shared six new principles in the field of capital management during this period. The last article of these principles officially approves the company’s ability to sell Bitcoin whenever it needs. The decisions taken are seen as a message of confidence for both investors and regulators.
Allowing the company to sell BTC when it deems it business-conducive clearly revealed the fundamental shift in strategy.
Saylor describes this new approach as “the most important chart” in the financial world. The company transformed its model from Bitcoin, which is seen as digital capital, to a mechanism for generating both STRC, that is, digital credit, and MSTR, which is stock. Now, not only long-term Bitcoin accumulation but also effectively using Bitcoin to strengthen the company’s credit and share structure has become a priority.
Message to the market and stakeholders
The “sell more than you buy” formula stands out as a product of Saylor’s effort to reconcile both his desire to maintain his optimism in the crypto market and the expectations of investors expecting dividends. In addition, these decisions taken due to upcoming dividend payments and turbulence in the markets seem to increase the company’s mobility in the coming period. Analysts point out that the management has tended to adopt a more flexible attitude, especially due to the volatility in financial statements and share prices.
Michael Saylor; It stands out as an important name in technology, software and especially crypto asset management. The company he founded and heads is one of the largest publicly traded institutional Bitcoin investors. Saylor, known for its long-term acquisitions and strategic moves in the crypto markets, has recently been on the agenda again with the change in its management approach.
