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Michael Saylor Reaffirms Bitcoin's Role as Reserve Asset

Published 15/08/2024, 11:27
© Reuters Michael Saylor Reaffirms Bitcoin\'s Role as Reserve Asset
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U.Today - Michael Saylor, MicroStrategy’s founder and chairman, has once again reaffirmed the role of Bitcoin (BTC) as a reserve asset. Saylor’s recent statement comes after a bold Bitcoin move by Marathon Digital (NASDAQ:MARA) Holdings, a renowned crypto-mining firm.

Saylor’s bullish Bitcoin statement

“Bitcoin is the world's best strategic treasury reserve asset,” says Saylor, highlighting a recent post from Marathon. The mining firm announced the completion of a $300 million convertible senior notes offering due in 2031.

Subsequently, Marathon sold the notes in a private offering to qualified institutional buyers and used the proceeds to purchase 4,144 BTC, valued at approximately $249 million. Marathon said it intends to use the remaining net proceeds from the notes' sales to acquire additional Bitcoin and for general corporate expenses.

The acquisition showcases Marathon’s commitment to increasing its Bitcoin reserves. It will be interesting to see how this impacts the firm’s finances and market positioning in the long term.

Meanwhile, MicroStrategy took a similar path in June to accumulate Bitcoin. The firm bought additional Bitcoin from proceeds from the sales of $700 million Convertible Senior Notes due in 2032.

As reported by U.Today, MicroStrategy now holds 226,500 BTC in its reserves, establishing itself as a major model in its Bitcoin acquisition bid. Saylor, a strong Bitcoin proponent, began purchasing the cryptocurrency in 2020 as an inflation hedge and cash alternative.

Marathon’s Bitcoin commitment

Marathon has also demonstrated strong support for Bitcoin accumulation and adoption. The firm recently formed a strategic partnership with NiceHash to create and test new solutions for more effective mining hardware usage.

Through the collaboration, NiceHash Firmware will support Bitcoin miners seeking to increase their earnings following the halving event. This could lead to more miners entering the market, which would boost the credibility of the Bitcoin network.

This content was originally published on U.Today

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