Micheal Saylor has hinted that Strategy is about to make another Bitcoin (BTC). However, his post follows a recent explanation by the company’s CEO on when it can start selling its BTC holdings.
Saylor’s Post Suggest Another Round of Strategy BTC Accumulation
After providing a chart that showed the increasing BTC holdings of Strategy, Michael Saylor created fresh speculation around the possibility of another Bitcoin buy. He posted the message “What if we start adding green dots?” alongside the portfolio chart.
The remark suggests Strategy may be preparing for another accumulation round as market volatility increases. Recently, Strategy said it will keep buying Bitcoin regardless of market conditions. The chart depicts that Strategy’s Bitcoin portfolio is worth an approximate of $59 billion as it has purchased a total of 649,870 Bitcoins 87 times.
It visualizes each buy as an orange dot. Michael Saylor’s reference to “green dots” signals the possibility of new purchase markers appearing on the tracker. The timing of the tease is important. Strategy is navigating a demanding financial environment.
Strategy CEO Outlines Conditions for Rare BTC Sale
According to CEO Phong Le during a podcast interview, Strategy will only sell Bitcoin if markets turn extremely unfavorable. He said this would happen only if mNAV falls below net asset value and fresh capital is unavailable.
According to Le, the business model relied on increasing capital when stock market values exceeded net asset value (NAV). Hence, the firm would deploy this capital to increase holdings.
This is in line with a reconfirmation by Saylor of Strategy’s long-term Bitcoin mission. He indicated that selling will only be rational when funding becomes unavailable and equity issues will be too dilutive.
Strategy now owes about $750 million to $800 million every year in required dividend payments in the form of preferred-share liabilities. Le added the company plans to pay these dividends using money raised when its shares trade above net asset value.
He said that consistent dividend payments help build stronger market confidence in Strategy’s ability to manage its obligations. Despite the pressure, the company maintains that its long-term Bitcoin strategy remains unchanged.
Strategy Dashboard Reveals BTC Strength Over the Long Term
According to Le, Bitcoin is a rare asset, and all regions are interested in it, leading to rising demand and price. He also highlighted that the limited supply of the asset is one of the factors supporting Strategy’s long-term approach to holding it.
Recently, Strategy introduced a BTC Credit dashboard to provide investors with clearer insight into its holdings following the recent market correction. Based on the information from the dashboard, the company can keep paying off dividends over decades. This can continue even when Bitcoin is trading at the firm’s average purchase price of around $74,000.
This financial robustness is exhibited following a time the company went through high pressure in the market. An example was when Strategy was at risk of exclusion from the Nasdaq-100 index following the recent crash of the crypto market when BTC price traded around $90,000.
Strategy is also confident that it can still manage its debt in case Bitcoin price drops to $25,000. Such assertions give hope that new Bitcoin purchases can still be made, particularly when the market conditions is stable.
Source: https://coingape.com/michael-saylor-hints-fresh-bitcoin-buy-with-green-dots-tease/
