Strategy Leverages AI to Take Its Bitcoin Investment Strategy Further

By leveraging artificial intelligence, Strategy – formerly known as MicroStrategy – is taking its Bitcoin investment strategy further.

Strategy, formerly known as MicroStrategy, is taking its Bitcoin investment strategy to the next level with the integration of artificial intelligence (AI).

At the recent Strategy World event in Florida, Strategy Executive Chairman Michael Saylor discussed how he has been incorporating the use of AI into the company’s financial operations to develop new financial products and capitalise on the firm's cryptocurrency holdings.

The company, which is famously known for its massive Bitcoin treasury, currently holds more than 500,000 coins. This amounts to roughly 2.6% of Bitcoin’s total supply and is valued at over US$52 billion (AU$80 billion) at current prices.

To put this into perspective, Strategy’s Bitcoin holdings are now a staggering 200-fold greater than the original investment it made five years ago.

At the event, Saylor highlighted how instrumental AI has been in this transformation. He described how he frequently enlists the help of AI to process and analyze large volumes of data in a matter of minutes. In contrast, he noted that it would take his teams of experts days or weeks to perform the same tasks.

“I’ll get the AI to scan 500,000 pages of documents and then write a report. Or I’ll get it to take a 100-hour video and create a two-minute summary. I can get it to do anything,” Saylor said.

The executive explained that while AI doesn’t necessarily provide him with an immediate answer for action, it typically provides him with 80%-95% of what he needs. From there, he takes the information to the relevant departments, such as finance or legal, to complete the final stages.

Earlier this year, Strategy launched its Perpetual Strike Preferred Stock (STRK) and Perpetual Strife Preferred Stock (STRF), which are preferred stock offerings designed to support the company’s plan to raise capital for further Bitcoin accumulation.

The company recently disclosed that it purchased an additional 1,895 Bitcoin with capital partly realized from the sale of STRK. Both stocks are being sold with attractive yields and feature unique characteristics such as perpetual dividends and call options.

“Those two preferred stocks, Strife and Strike, are the first AI-designed securities that I know of, certainly in our industry,” Saylor said, crediting AI with helping to cut through the financial and legal red tape in creating the offerings.

With AI now seamlessly embedded in both its strategic planning and product innovation, Strategy is undoubtedly forging a unique and advanced blueprint for the future of corporate finance.