Michael Saylor: Bitcoin's Cyber Manhattan Mentality Will Create Generational Wealth

Michael Saylor, MicroStrategy's executive chair and co-founder, opened up about Bitcoin's superiority in long-term capital management during an interview with Bloomberg Television.

MicroStrategy has continued to accumulate Bitcoin throughout 2023, despite the coin’s price dropping significantly from its all-time high.

In an interview with Bloomberg Television, Michael Saylor, MicroStrategy’s executive chair and co-founder, discussed Bitcoin’s recent dip below the $50,000 level and MicroStrategy’s decision to acquire an additional 169 Bitcoin for just over $11 million in July.

When asked by the interviewer, “When you see that dip below $50,000, do you dive right in, and to what degree?”, Saylor replied:

“I think that we’re always buying Bitcoin every quarter by quarter by quarter. It’s a long-term strategy. But the most important point for people to understand is that Bitcoin volatility is a feature, it’s not a bug. The volatility creates tens of billions of dollars of credit and liquidity at all times everywhere to everyone in the world in the short term. But over the long term, that volatility is driving superior asset performance and durability. So it’s volatile because it’s functional.”

Later in the interview, Saylor was asked if it’s a problem for Bitcoin to lose 10 or 20% over a few trading sessions, considering it’s used as a store of value.

“The reason Bitcoin can lose 10 or 20% over a few trading sessions and still be used as a store of value is that it’s functional,” Saylor explained. “It’s digital capital, superior to physical or financial capital. It’s a capital investment that you can hold for decades, and no corporation, competitor, counterparty, or country can take it away. It has the potential to create generational wealth for your family, corporation, or country. You can liquidate it anytime, anywhere in the world, or hold it without active management or business expertise. Despite its volatility, Bitcoin is vastly superior to any other option for long-term capital management, and the world is just beginning to recognize this advantage.”

Finally, Saylor was asked about the psychology behind these pullbacks and how much he’s willing to invest during dips.

“We view Bitcoin as ‘cyber Manhattan,'” Saylor said. “Just as there’s never a bad time to buy valuable real estate in a prime location, there’s never a bad time to buy Bitcoin.”