Michael Saylor, known for his Bitcoin advocacy, shared with the public for the first time the possibility that the Strategy company he leads may sell some of its Bitcoin assets in the future. This statement of Saylor, who has been acting with the attitude of “we will never sell” for years, came after the company’s quarterly financial statement.
Unexpected announcement and market reactions
Speaking at the company’s meeting with investors, Michael Saylor said that selling a small amount of Bitcoin for dividend payments may be on the agenda in the future. Saylor emphasized that these possible sales are aimed at making the company’s liabilities sustainable. The main purpose of the company is not to survive or to guarantee debt management; Rather, it stands out as keeping the business model stable even under difficult market conditions.
This statement immediately caused a stir in the cryptocurrency market. With Strategy, which has been aggressively accumulating Bitcoin for years, bringing up the possibility of a sale, discussions about how institutional Bitcoin investors can act for needs such as liquidity and dividends in the future have accelerated.
“Eight to twelve weeks ago, the use of Bitcoin for such sales or dividends was not on the agenda at all, but now I see dozens of startups interested in this issue,” said Saylor, stating that new financial models are rapidly emerging.
The company’s Bitcoin position and new financial products
As a result of the 24 percent drop in Bitcoin price in the last quarter, Strategy announced a net loss of 12.5 billion dollars in the first three months of the year. Despite this, the company continued to collect Bitcoin and currently holds 818,334 BTC. The current value of the balance in question is calculated as 66.7 billion dollars.
Strategy financed most of its Bitcoin purchases with perpetual preferred shares products it issued this year. Especially with the company’s Stretch (STRC) product, a significant portion of the 145,834 Bitcoins purchased since the beginning of the year were covered by this instrument.
Saylor suggests that Stretch could become the largest credit instrument in the markets in the future. Thus, he states that as the asset under management grows, liquidity and product adaptation can increase rapidly.
In addition, it was shared that decentralized finance platforms named Pendle and Saturn tokenized the STRC dividend, making these products tradable on-chain. According to Saylor, it seems possible that Bitcoin-backed financial products could offer annual returns of up to 8 percent in the future; This rate is above current crypto interest rates.
Concerns of experts and investors
Analysts continue to question the long-term sustainability of preferred dividend stocks. Although these financial instruments do not have a maturity date, prolonged declines in the price of Bitcoin may make dividend payments difficult to manage.
Since the beginning of April, Bitcoin has gained approximately 20 percent in value, compensating for some of the damage incurred in the first period of the year. Despite this, Strategy shares fell 4.33 percent to $178.80 in after-hours trading after the balance sheet announcement.
This new discussion on the company’s Bitcoin accumulation strategy is considered as a signal that similar institutional investors may also turn to flexibility in BTC asset management in the future.
