MicroStrategy Won't Backpedal on its Bitcoin Game Plan - CFO 14

MicroStrategy Won’t Backpedal on its Bitcoin Game Plan – CFO

Quick take:

  • MicroStrategy’s new Chief Financial Officer, Andrew Kang, has reiterated that the company will stick to its Bitcoin plan by not selling any BTC.
  • Mr. Kang also adds that MicroStrategy investors are also aligned with the company’s Bitcoin strategy.
  • MicroStrategy’s new CFO also forecasts possible regulation due to the recent volatility of the crypto markets.

This past Wednesday, MicroStrategy’s new Chief Financial Officer, Andrew Kang, said that the company’s plan of buying and holding Bitcoin long-term would not change despite the ongoing crypto market volatility catalyzed by UST’s depegging and LUNA’s downward spiral that pulled down BTC with it.

Mr. Kang joined MicroStrategy on the 9th of May, transitioning from the home-improvement lender of Greensky Inc., where he served in the same capacity as CFO. According to Mr. Kang, the company has no intention to sell its Bitcoin holdings. He also added that MicroStrategy’s investors are aligned with the Bitcoin game plan. He said:

At this time, we do not have any intention to sell. There are no scenarios that I’m aware [in which] we would sell. Our investors are very much aligned with our strategy.

Some of the more recent volatility was certainly around some of the activity outside of bitcoin. For us, we monitor that from a market perspective, but there [isn’t] anything fundamental to bitcoin that we believe presents any issues against our strategy.

Recent Volatility Could Result in Crypto Regulation

Furthermore, MicroStrategy’s new CFO forecasted that the recent crypto market volatility could result in new regulation of the cryptocurrency markets, which the company supports.

MicroStrategy’s Bitcoin Holdings Are Slightly in the Red

As of March 31st, MicroStrategy said it had bought 129,218 Bitcoin to date at an average price of $30,700.

At the time of writing, Bitcoin is hovering around $30,100, which means MicroStrategy’s bag of Bitcoin is worth roughly $3.889 billion compared to the $3.966 billion spent on purchasing the BTC. This, in turn, means that the company is slightly in the red by roughly $77.53 million.

Michael Saylor Celebrates Bitcoin’s Pizza Day

Also worth mentioning is that today, May 22nd, is the infamous Bitcoin Pizza Day. On this day back in 2010, a Florida-based programmer known as Laszlo Hanyecz bought two pizzas for 10,000 Bitcoin, valued at roughly $41 back then. This transaction marked the first recorded instance of Bitcoin adoption.

Earlier today, MicroStrategy’s CEO, Michael Saylor, marked the Bitcoin Pizza anniversary by Tweeting about the occasion and highlighting that Satoshi Nakamoto disappeared on December 13th, 2010. He said:

On Jan 3, 2009 Bitcoin was born, operating without economic value for 504 days until May 22, 2010 (“Pizza Day”) when two pizzas traded for 10,000 BTC.

Satoshi disappeared Dec 13, 2010 without profiting in any way, completing the ethical launch of the world’s first digital money.