"Don't Do That": MicroStrategy's Saylor Issues Crucial Warning

10/16/2024 03:13
"Don't Do That": MicroStrategy's Saylor Issues Crucial Warning

The MicroStrategy co-founder believes that the market cap of Bitcoin could potentially surge to $160 trillion

The MicroStrategy co-founder believes that the market cap of Bitcoin could potentially surge to $160 trillion

"Don't Do That": MicroStrategy's Saylor Issues Crucial Warning

Cover image via U.Today

During a recent appearance on the "Onramp Media" investment podcast, MicroStrategy CEO Michael Saylor warned Bitcoiners against leveraged trading.  

"When you're trading 10x leverage…Bitcoin trades down a few thousand dollars, you get forced liquidated while you're sleeping and you lose everything. That's stupid. Don't do that," he said.   

At the same time, the billionaire has pitched the company's debt-for-Bitcoin strategy: 

"If you can create a company that raises equity or debt to buy Bitcoin, that's intelligent. If you can borrow money at 4%, that's even more intelligent," he said. 

Related

MicroStrategy's Saylor Names One Thing Better Than Bitcoin

Those who have capital that they could hold for more than four years should just buy Bitcoin and "forget about it," according to Saylor. The same applies to loans that one would not be expected to pay back within four years. However, betting on the cryptocurrency with short-term loans would not be considered safe, according to the MicroStrategy co-founder. 

"Nothing stops this train" 

The former MicroStrategy CEO has also stated that there is no second-best idea since there is Bitcoin. 

If you humble yourself before Satoshi and you recognize the brilliance of digital capital and you recognize the fact that this is inevitably going to go from a trillion to $10 trillion, to $20 trillion, to $40 trillion, to $80 trillion to $160 trillion…Nothing stops this train," he noted.  

He views Bitcoin as a "universal merger partner" that could potentially revitalize plenty of "zombie companies" that are sitting at the bottom of Russell 2000. 

About the author

article image

Alex Dovbnya

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at [email protected].

Related articles

Advertisement

TopCryptoNewsinYourMailbox

TopCryptoNewsinYourMailbox

Read more --->