The CEO of Strategy, formerly known as MicroStrategy, Michael Saylor expressed the view that Bitcoin is a necessary tool for companies facing financial difficulties. He compared modern corporations to individuals suffering from Type 1 diabetes, referring to Bitcoin as their “insulin.” He made this statement during a discussion on “Why the Bitcoin Standard Matters,” which also featured Jeff Park from Bitwise and The Block CEO Larry Chermak.
This is reported by Finway
“Companies are starving themselves of capital,” Saylor noted, explaining the need for Bitcoin.
Saylor also emphasized that many companies lose up to 10% of their capital value each year due to investments in short-term treasury bonds, which yield only 2-3% after-tax income, while the cost of capital reaches 12%.
As Saylor pointed out, “It’s like starving to death while constantly eating.” He is convinced that companies must find new ways to store capital to ensure their prosperity.
Bitcoin as a Reserve Asset
Saylor believes that adopting a Bitcoin standard could significantly enhance a company’s investment appeal, helping to attract more capital. “Every company that adopts the Bitcoin standard becomes more attractive to investors, leading to an increase in its shareholder value,” he emphasized.
In his view, Bitcoin is a unique asset that is not a security but offers higher returns than the cost of capital. Saylor also noted that Bitcoin as a protocol is reliable and resilient to any attempts to destroy it.
“No state, company, or capitalist can destroy this protocol,” Saylor added, arguing for the importance of Bitcoin as a reserve asset.
Furthermore, he debunked common myths that Bitcoin is an “unproductive” asset, asserting that exchanging dollar stocks for Bitcoin can create real value for shareholders.
According to Saylor, attempts to replicate his company’s strategy with other cryptocurrencies, such as Ethereum or Solana, are futile. “Bitcoin is like steel. Everything else is balsa wood, unsuitable for a foundation,” he concluded.
It is worth noting that in early March 2025, Saylor proposed a plan to the U.S. government to create an $81 trillion Bitcoin reserve.