Michael Saylor Delivers Bitcoin Masterclass To Fortune 1000 Companies
In a Keynote address at MicroStrategy World: Bitcoin for Corporations, MicroStrategy Executive Chairman Michael Saylor delivered a masterclass on corporate finance and the power of bitcoin to supercharge corporate balance sheets. Saylor made a point to emphasize Bitcoin as the single solution for capital appreciation in an inflationary environment.
In his speech, Saylor likened the cost of capital to being the benchmark which a company must surpass to increase its purchasing power, arguing that Bitcoin is the only asset that exceeds the cost of capital. Another way to say that, is everything else is dilutive.
Further describing the true cost of capital, he noted that the S&P is the modern surrogate for the cost of capital If you had to pick one metric and say, whats the metric that gives you a sense of how rapidly the world currency supply is expanding in dollars? Probably the S&P 500 this is another way to see inflation.
Saylor went on to emphasize his belief that all assets, except bitcoin, are not accretive to corporate balance sheets despite their general acceptance. In particular, he highlighted the relative underperformance of the silver, gold and US government bonds:
[If companies] invested in T-bills, theyre going to get 3% after tax against a 12% cost of capital per year. And so you hold $100 billion of capital, you destroy $9 billion of shareholder value a year The story here is that the bonds dont hold value, right? Theyre awful capital assets. Silver doesnt work. Gold doesnt keep up with the cost of capital.
There Is No Second-Best Crypto Asset
The MicroStrategy Executive Chairman noted key differences between Bitcoin and alternative cryptocurrencies like Ethereum, expressing the importance and necessity of proof-of-work-based consensus in creating a digital commodity.
You could see the writing on the wall when the spot ETF of Bitcoin was approved in January. By the end of May, youll know that Ethereum is not going to be approved. And when Ethereum is not going to be approved, sometime this summer itll be very clear to everyone that Ethereum is deemed a crypto asset security, not a commodity. After that, youre going to see that [for] Ethereum, BNB, Solana, Ripple, Cardano everything down the stack.
On the point of Bitcoins energy use, Saylor invoked the idea of a physical linkage to the real world in Bitcons consensus. He described the network as having raw digital power standing in the way of anybody that would try to undermine the integrity of the network The network is feeding on electricity, and that creates a decentralizing dynamic that drives all of the network to the end of the grid in the quest of stranded energy.
Its Going Up, Forever
Saylors conviction and use of physics-based metaphors were present as ever as he spoke on Bitcoins price appreciation and continued monetization. Its never declining. The charts not ever decreasing. It only goes one way. Bitcoin is a capital ratchet. Its a one-way ratchet. Archimedes said, give me a lever long enough and a place to stand and I can move the world. Bitcoin is the place to stand.
Theres no more powerful idea than the digital transformation of capital No force on earth can stop an idea whose time has come. This is an idea. Its time has come. Its unstoppable. And so Im going to end with the observation that Bitcoin is the best. The best what? The best.
Source: Bitcoin Magazine
The post Michael Saylor Delivers Bitcoin Masterclass To Fortune 1000 Companies appeared first on Crypto Breaking News.
Text source: Crypto Breaking News
