Is Michael Saylor Better Dead Than Alive for Bitcoin’s Future?

In Bitcoin, few names carry as much weight as Michael Saylor. The former CEO of MicroStrategy has become linked with Bitcoin maximalism stirring up heated talks about how companies should handle digital assets. His way of buying Bitcoin has changed MicroStrategy's finances and made waves in the wider crypto world.

You might be curious about Michael Saylor's Bitcoin holdings and what this means for the future of cryptocurrency adoption. This article explores Saylor's Bitcoin investments looking into MicroStrategy's daring investment approach and its possible effects. We'll look at the debatable reason why Michael Saylor, in his own words, might be better dead than alive for Bitcoin, and how big of a Whale Saylor is.

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Michael Saylor: Bitcoin's Most Vocal Advocate

Michael Saylor, an American businessman and company leader, has become linked with Bitcoin investment. He started and now leads MicroStrategy, a top company that provides business insights and cloud services. Saylor's dive into the world of digital money has turned heads and made waves.

Saylor's first thoughts on Bitcoin were quite negative. In 2013, he posted on Twitter that Bitcoin wouldn't last long showing he didn't believe in it. But by 2020, he had changed his mind . As COVID-19 caused chaos worldwide, Saylor started to see Bitcoin . He began to think it could hold value better than other traditional investments.

This shift in outlook brought about a turning point in August 2020 when MicroStrategy made its first Bitcoin investment, buying USD 250.00 million worth of BTC. This signaled a new direction for the company putting Bitcoin at the forefront as a main treasury reserve asset. Saylor's reason for this daring step came from his worry about cash losing its purchasing power due to inflation, which he described as a "slow death" for the company.

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Public statements and predictions

Since he became a Bitcoin maximalist, Saylor has gained a reputation for making bold claims and big predictions about the future of this cryptocurrency. In a recent interview, he made a forecast that Bitcoin could hit USD 13 million per coin by 2045 in a base case scenario. This new prediction, which is higher than his earlier estimate of USD 10.00 million, shows how Saylor believes in Bitcoin's potential over the long run.

Saylor's public remarks often stress Bitcoin's special qualities. He calls it "immortal, immutable, and immaterial capital"—a type of wealth that doesn't follow the laws of thermodynamics that control physical assets. 

This idea comes from his deep grasp of the ideas and economic principles behind money. He shows this knowledge in the Saylor Series—over 30 hours of talks on the What is Money podcast with Robert Breedlove. These talks give us a look at how Bitcoin is an entirely new type of asset that might change the money system. They show how much thought and study backs up Saylor's support. His big predictions and extensive reasoning come from this long look into the subject.

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Influence on crypto community

Saylor has a strong influence on the cryptocurrency community. His bold support of Bitcoin and big investments through MicroStrategy have sparked both praise and doubt. Some people say his heavy focus on Bitcoin puts the company at too much risk, given how much the cryptocurrency's value changes. But supporters argue that leveraging cheap corporate issued debt is an effective strategy compared to holding dollars that will only lose value over time; so far the price action validates this argument .

To put Saylor's commitment into perspective, over 1% of all the Bitcoin that will ever exist, making it one of the biggest public owners of the cryptocurrency. Furthermore, Microstrategy is pivoting towards becoming a Bitcoin development company, focused on base layer and layer 2  applications, such as Microstrategy Orange, a service to provide trustless and tamper proof decentralized identities using the Bitcoin Blockchain. 

Saylor's influence goes far beyond Microstrategy treasury and pivoting into a Bitcoin development company. He has dedicated hundreds or thousands of hours into educating and sharing knowledge about Bitcoin on Social and financial television networks. 

Saylor also actively engages with various corporations to introduce them to the benefits and path to adopting a Bitcoin Treasury, through Microstrategy’s Bitcoin for Corporations conference. Lastly, Saylor along with various Bitcoin miners founded the Bitcoin Mining Council, an organization focused on the sharing of best practices, transparency and education on the benefits of Bitcoin and Bitcoin mining.      

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MicroStrategy's Bitcoin Holdings

As of November 2024, Microstrategy (MSTR), with a capitalization of $45.1 Billion dollars, owns 279,420 Bitcoin, at an average purchase price of approximately $42,692 per Bitcoin.

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Acquisition strategy

For the past 4 years, MicroStrategy has been aggressively buying Bitcoin for its treasury. The company employs a dollar-cost averaging (DCA) strategy, purchasing relatively small amounts of Bitcoin regularly instead of placing single large purchases. While the DCA strategy allows the company to acquire BTC with a lower price slippage by spreading purchases over time, it is also evidence that Microstrategy perceives Bitcoin as being significantly under its fair value.  

In order to finance these acquisitions, the company often leverages corporate debt financing through the issuance of convertible notes. This allows Microstrategy to raise substantial amounts of cash without diluting the ownership of its shareholders, unlike Bitcoin miners which up until now have been relying on share dilutions to finance their activities and acquisitions .  Convertible notes have been and are likely to continue to be, a key tool for Microstrategy to seize advantageous buying opportunities, especially when the Bitcoin price drops.

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Financial performance

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Microstrategy’s Bitcoin treasury strategy has dramatically affected its stock’s price performance. As seen in the chart above, MicroStrategy's stock (blue) has closely mirrored Bitcoin’s  price performance (red) for the first 3 years, with the company's market cap sometimes even falling below the net value of its Bitcoin holdings. 

It’s only recently, after the approval and launch of the various Bitcoin ETFs that Microstrategy has exponentially outperformed it. Since MicroStrategy’s first Bitcoin acquisition in August 2020, Bitcoin has surged over 490%, while MicroStrategy’s stock has outpaced it, soaring by an impressive 1,437%.

With 1.2% of the Bitcoin network the potential for returns is in uncharted territory, it’s also crucial for the company to carefully manage the liquidity to fund operations. If Microstrategy’s revenue were to fall significantly and even though the company has several financing options like corporate debt and Bitcoin over collateralized loans; if those options weren’t available and Microstrategy would be forced to sell, it would likely have a cascading effect both on Bitcoin and MSTR stock price.

The debt Microstrategy has incurred on, has further increased its leverage and while the corporate bonds interest are relatively low it has an impact on the company's cash flow. While for the past 2 quarters the company has missed earnings consensus and had negative revenue; the expert analysts consensus rating is still a Buy with an average price target of $286 per share (currently $230), a clear evidence that Microstrategy is no longer about Business intelligence and software but a closely related Bitcoin development company. 

Despite the inherent leverage and risks, MicroStrategy's Bitcoin strategy has so far paid off. By November 2024, the company’s Bitcoin holdings had grown significantly, with a total value of $17.3 billion, compared to their original acquisition cost of $9.9 billion, a clear validation of the Bitcoin treasury model.

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Michael Saylor: Better Dead Than Alive for Bitcoin?

At Bitcoin 2024 Nashville, Michael Saylor disclosed his future plans or rather refuted the luring perception of him becoming an essential key player for Bitcoin. Unlike many wealthy individuals, Saylor doesn’t plan to pass his Bitcoin down to his heirs—because he has none. Instead, Saylor has laid out a plan to ensure his BTC fortune continues to fuel the growth and adoption of Bitcoin and freedom.

In his own words: “I don’t have heirs but a Non Profit Foundation…So when I die, my stock, my shares, my assets will flow into a public charity whose mission is to support Bitcoin and the adoption of Bitcoin forever.”
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Saylor’s decision reflects his unwavering belief in Bitcoin’s potential to reshape the world, not just as a hedge against inflation but as a transformational asset for future generations' freedom. By placing his Bitcoin in a foundation, Saylor will ensure that his wealth will be used to advance the very cause he has championed so passionately—educating others about Bitcoin and accelerating its adoption.

This isn’t just a financial decision; it’s a legacy move. Rather than hoarding wealth for personal gain or passing it down within a family, Saylor is thinking long-term. He envisions a future where Bitcoin becomes a cornerstone of the global financial system, and his foundation will be one of the vehicles to make that vision a reality.

Saylor’s bold strategy stands out not just for its scale but for its purpose. He’s not merely amassing wealth in Bitcoin; he’s investing in a future where that wealth is redistributed through education, outreach, and global adoption. It’s a rare perspective in today’s market-driven world, adding a layer of altruism and vision to his legacy.

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How Much Bitcoin Does Michael Saylor Have?

As of October 3, 2024, Michael Saylor personally owns 17,732 Bitcoin, which at the current price of $68,800 USD per Bitcoin amounts to approximately $1.22 billion at the current price. His personal fortune is estimated at $4.6 billion USD, including almost 20 million shares of MicroStrategy’s stock.

Considering Saylor’s plan to place his Bitcoin into a foundation upon his death, there is a growing curiosity about the potential scope of this move. If Saylor lives to the average US life expectancy of 77 years, that’s another 20-plus years of Bitcoin appreciation ahead. Coincidentally, Saylor recently predicted that Bitcoin could reach $13 million in 21 years, a projection that would make his current Bitcoin holdings worth an astonishing $230 billion. 

Saylor also holds nearly 20 million shares of MicroStrategy, which at a current price of $232 per share, are currently worth $4.64 billion USD. In a base case where MicroStrategy’s shares simply follow Bitcoin's performance, the foundation would start with approximately $1.1 trillion, combining the values of both his Bitcoin and MicroStrategy holdings.

That vast fortune could fund countless global projects, ranging from technological innovations to humanitarian efforts, fundamentally changing the landscape of philanthropy and potentially inspiring other prominent whales to contribute to that same foundation in the future.

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