Michael Saylor Explains Why Strategy Sold Bitcoin Near $60,000

Strategy founder Michael Saylor said the company sold Bitcoin when the cryptocurrency was trading around $59,000 to $60,000 to challenge market assumptions that disposing of its holdings would trigger a decline in the token’s price.

Speaking in an interview with The Diary Of A CEO, Saylor said investors had believed Strategy was effectively unable to sell Bitcoin because doing so could push BTC lower. That scenario, he said, could leave the company in a “doom loop,” forcing it to raise capital through stock sales to cover dividend payments.

Instead, Bitcoin rose after Strategy sold some of its holdings, Saylor said.

Strategy’s break-even point is about 3.2%, according to Saylor. If Bitcoin appreciates by that amount, the company can sell a portion of its BTC holdings to cover dividends without having to continue issuing equity, he said.

Bitcoin was trading at $65,196 at the time of the update, up 4.3% over the previous seven days.

Source: The Diary Of A CEO Podcast