The post American economist says this is the ‘beginning of the end of Strategy’ appeared on BitcoinEthereumNews.com. American economist Peter Schiff is warning about the future of Strategy (NASDAQ: MSTR), formerly MicroStrategy, arguing that the company’s financial structure is beginning to unravel as its stock continues a steep decline. His remarks follow another turbulent trading session on Monday, during which MSTR closed at $171.42, down more than 3% after plunging as much as 12% intraday. The stock has now fallen 35% over the past month. MSTR one-week stock price chart. Source: Finbold Schiff argued that Strategy is entering the early stages of collapse, claiming Michael Saylor is now selling stock not to buy more Bitcoin (BTC) but simply to raise dollars to cover interest and dividend obligations, signaling, in his view, a failing business model. In an X post on December 1, he said the company is stuck issuing new shares to raise cash, then using that cash to buy low-yield Treasuries while taking on debt and preferred stock that cost far more. “Today is the beginning of the end of MSTR. Saylor was forced to sell stock not to buy Bitcoin, but to buy U.S. dollars merely to fund MSTR’s interest and dividend obligations. The stock is broken. The business model is a fraud, and Saylor is the biggest con man on Wall Street,” Saylor said.  Schiff called the structure unsustainable and questioned how long investors will continue supporting a model built on rising liabilities and shareholder dilution, sustained largely by hopes that Bitcoin’s price will eventually mask the financial strain. So $MSTR‘s new business model is to sell stock to raise cash, then use that cash to buy Treasuries that yield about 4% to fund the issuance of debt and preferred stock at a cost of 8%–10%. How much longer will investors pretend this is a viable business just to gamble on Bitcoin? — Peter… The post American economist says this is the ‘beginning of the end of Strategy’ appeared on BitcoinEthereumNews.com. American economist Peter Schiff is warning about the future of Strategy (NASDAQ: MSTR), formerly MicroStrategy, arguing that the company’s financial structure is beginning to unravel as its stock continues a steep decline. His remarks follow another turbulent trading session on Monday, during which MSTR closed at $171.42, down more than 3% after plunging as much as 12% intraday. The stock has now fallen 35% over the past month. MSTR one-week stock price chart. Source: Finbold Schiff argued that Strategy is entering the early stages of collapse, claiming Michael Saylor is now selling stock not to buy more Bitcoin (BTC) but simply to raise dollars to cover interest and dividend obligations, signaling, in his view, a failing business model. In an X post on December 1, he said the company is stuck issuing new shares to raise cash, then using that cash to buy low-yield Treasuries while taking on debt and preferred stock that cost far more. “Today is the beginning of the end of MSTR. Saylor was forced to sell stock not to buy Bitcoin, but to buy U.S. dollars merely to fund MSTR’s interest and dividend obligations. The stock is broken. The business model is a fraud, and Saylor is the biggest con man on Wall Street,” Saylor said.  Schiff called the structure unsustainable and questioned how long investors will continue supporting a model built on rising liabilities and shareholder dilution, sustained largely by hopes that Bitcoin’s price will eventually mask the financial strain. So $MSTR‘s new business model is to sell stock to raise cash, then use that cash to buy Treasuries that yield about 4% to fund the issuance of debt and preferred stock at a cost of 8%–10%. How much longer will investors pretend this is a viable business just to gamble on Bitcoin? — Peter…