Saylor Urges Microsoft Bitcoin Adoption
Saylor's Bold Bitcoin Proposal to Microsoft
Michael Saylor, Strategy Executive Chairman, has again advocated for Microsoft to replace bonds and stock buybacks with Bitcoin, asserting this move would significantly enhance shareholder value while mitigating corporate risks. He made this recommendation at Strategy World 2025, Microsoft's annual flagship conference.
Key Arguments
- Superior Returns: Saylor highlighted Bitcoin's 53% average annual return over the past five years, contrasting it with Microsoft's approximate 6% return during the same period. This translates to a 950% increase for Bitcoin versus a 148% gain for Microsoft.
- Inefficient Capital Allocation: He criticized Microsoft's current strategy of stock buybacks, dividends, and low-yield bonds, arguing that these methods are less effective than investing in high-growth assets like Bitcoin. This, he believes, weakens Microsoft's equity as collateral, impacting its appeal to investors.
- Reduced Risk and Increased Flexibility: Saylor warned that Microsoft's current approach increases long-term risk and limits its adaptability to market shifts and competitive pressures.
- Bitcoin as a Superior Investment: Saylor stated that "Buying Bitcoin would be 10x better than buying your own stock." He categorized bonds as "toxic" and declared that stock buybacks "destroy 97% of your capital over 10 years."
- Bitcoin's Position in the 21st Century: Saylor positioned Bitcoin as the leading asset of the 21st century, referencing gold as the 19th-century equivalent and treasuries dominating the 20th. He described Bitcoin as a liquid, fungible capital asset that serves as a modern alternative to bonds.
Saylor previously presented a detailed proposal to Microsoft’s board, advocating for a shift in capital allocation towards Bitcoin. While his efforts have previously resulted in shareholder rejection of a related proposal, he maintains his belief in Bitcoin's potential to increase Microsoft's enterprise value by up to $5 trillion.
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