{"id":128859,"date":"2025-05-05T18:19:28","date_gmt":"2025-05-05T18:19:28","guid":{"rendered":"https:\/\/teknomers.com\/en\/thoughts-on-the-mstr-bitcoin-profits\/"},"modified":"2025-05-05T18:19:28","modified_gmt":"2025-05-05T18:19:28","slug":"thoughts-on-the-mstr-bitcoin-profits","status":"publish","type":"post","link":"https:\/\/teknomers.com\/en\/thoughts-on-the-mstr-bitcoin-profits\/","title":{"rendered":"Thoughts on the MSTR Bitcoin \u2018Profits\u2019"},"content":{"rendered":"

What recent trends in corporate treasury management are being influenced by MicroStrategy’s model?<\/strong> How does MSTR’s performance compare to that of bitcoin and what might this indicate about investor sentiment?<\/strong> What potential risks might arise for the bitcoin market if MSTR were to fail?<\/strong><\/p>\n

MSTR earnings came out May 1. My morning media stops last Thursday (here and here) asked for a preview. We don’t talk about stocks, so I planned to zoom out and hit themes. While preparing, I had to suppress the eye-roll reflexes<\/em> that MSTR triggers.<\/p>\n

MSTR, of course, is the ticker symbol for MicroStrategy, or Strategy, as the company is now known. Strategy, fronted by Michael Saylor, pioneered the \u201cbitcoin treasury\u201d model that\u2019s now been copied by Metaplanet and dozens of other companies. Strategy plans to raise $84 billion, according to its most recent announcement, across equity and fixed income instruments. <\/p>\n

Here are three questions:<\/p>\n

    \n
  1. \n

    Earnings?<\/strong>
    \nMSTR "earnings" and "price targets" are… Well, they don’t really mean the same thing, especially once the effect of ASC 2023-08<\/a> is backed out. It’s just the price of bitcoin and financing, plain and simple. Wall Street analysts and pundits should get that right.<\/p>\n<\/li>\n

  2. \n

    Strategy?<\/strong>
    \nYou can’t just say, "Strategy<\/em>." You have to say, "Strategy; you know, it used to be Microstrategy<\/em>." Like Prince, Puff Daddy, Kanye West and Twitter. NB: folks say "strategy" (small "s") a lot already.<\/p>\n<\/li>\n

  3. Don’t be a hater?<\/strong>
    \nMSTR supports a market cap of $107b with bitcoin holdings of $53b and laser-eyed goodwill. No lifeboat, no parachute, no apparent Plan B. If it fails, the bitcoin market could take the blame.<\/li>\n<\/ol>\n

    Those eye-rollers (and some obsequious media coverage<\/a> notwithstanding, we can agree that:<\/p>\n