MicroStrategy Inc. (NASDAQ: MSTR) Chairman Michael Saylor says you can never have too much Bitcoin.
While this is not surprising from one of the world’s largest Bitcoin investors, his comments could influence the markets and provide more insight into why he thinks Bitcoin (BTC) is a great investment .
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Saylor’s company has acquired more than 214,000 BTC over the past few years, owning more than 1% of the entire supply. MicroStrategy purchased the tokens for an average price of around $35,000 and used a $700 million convertible bond offering to purchase more Bitcoin in March. MicroStrategy has since been rebranded as “the world’s leading Bitcoin development company.”
With this huge investment, Saylor sees the price of Bitcoin continuing to rise. Saylor details several reasons why he believes Bitcoin is poised to do well in the months and years to come.
First, he sees the upcoming Bitcoin halving, which is expected to take place this week, as a major catalyst for the future.
“You’re going to see $12 billion in organic sales per year converted into $6 billion in organic sales per year,” Saylor said.
The halving will decrease the amount of new tokens added to each block’s supply, which would theoretically decrease selling pressures and allow the price to increase. Previous Bitcoin halvings have also served as short-term price catalysts.
Trending: Bitcoin has already jumped 45% this year – how much would you need to start today?
Saylor also pointed out that spot Bitcoin exchange-traded funds (ETFs) would put more buying pressure on the market. These comments were made before the ETFs were approved in January but turned out to be largely correct. Bitcoin spot ETFs have been the most successful in history, generating huge volumes and propelling the price of Bitcoin higher.
Another point that isn’t discussed as often is the new accounting standard that changes how companies can account for Bitcoin on their balance sheets.
“This will open the door for companies to adopt Bitcoin as a treasury asset and create shareholder value with their balance sheets,” Saylor said.
The standard, introduced by the Financial Accounting Standards Board (FASB) in late 2023, allows companies to include changes in the size of their crypto position in the bottom line.
With these points in mind, Saylor sees a bright future for Bitcoin. Saylor said he believes “the industry is moving to the next level and we’ll grow tenfold from here.”
At the time he made these comments, the price of Bitcoin was around $35,000. So 10 times from those levels would mean Bitcoin could hit $350,000, Saylor said. If so, you will need to own 2.86 BTC to become a millionaire. That would cost about $190,000 today.
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This article Here’s How Much Bitcoin You Need to Become a Millionaire, According to Michael Saylor originally appeared on Benzinga.com
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