MicroStrategy’s Michael Saylor Vows to Buy Bitcoin ‘Forever’ Despite $5B Loss

MicroStrategy, the United States-based company that has transformed into the world’s largest corporate Bitcoin treasury, executed its strategy again last week, purchasing $90 million worth of BTC during an 8% price drawdown. This latest acquisition brings its total holdings to 714,644 Bitcoin, a stash worth approximately $49 billion at current prices and representing a staggering 3.4% of the entire Bitcoin supply. However, the firm’s aggressive buying spree, conducted at higher price points, has resulted in a significant unrealized loss. With Bitcoin trading around $68,829, the total haul is now worth about $5.1 billion less than MicroStrategy paid for it.

Chairman Michael Saylor, in a CNBC interview, remained defiantly unfazed by these paper losses. “We’re not going to be selling. We’re going to be buying Bitcoin,” he stated, later adding, “I expect we’ll be buying Bitcoin every quarter, forever.” This declaration underscores the firm’s core identity as a Bitcoin acquisition vehicle, a strategy that has made its stock, MSTR, a proxy for Bitcoin exposure. Saylor himself likened the shares to “amplified Bitcoin,” a characterization reflected in their performance: down around 2.7% on Tuesday and nearly 66% over the last six months, recently changing hands near $134.58.

With Bitcoin’s price down 45% from its all-time high of $126,080 in October, market observers have questioned the sustainability of MicroStrategy’s model, particularly its ability to service debt and pay shareholder dividends without selling BTC. Saylor called these concerns “unfounded,” pointing to the company’s financial buffers. He revealed the firm has structured its obligations with 2.5 years of debt and dividend payment coverage held in cash reserves.

This safety net was notably bolstered in December with the establishment of a new $1.44 billion USD Reserve, specifically designed to cover dividend payments without touching the Bitcoin treasury. The company has since extended this buffer further by issuing common stock. These measures are central to Saylor’s argument that MicroStrategy is insulated from short-term market volatility and will not be a forced seller, a stance that contrasts with market sentiment on prediction platforms like Myriad, where predictors currently assign about a 28% chance the firm will sell BTC before the end of 2026.

Saylor’s commitment extends to a detailed contingency plan for a severe, prolonged crypto winter. He addressed the worst-case scenario head-on, stating, “If Bitcoin falls 90% for the next four years, we’ll refinance the debt. We’ll just roll it forward.” Using current prices for context, he noted, “You’re at $68,000 right now. It literally has to fall to $8,000, and then we’ll just refinance the debt.” This plan to refinance existing obligations rather than liquidate Bitcoin holdings is the cornerstone of his long-term thesis.

While acknowledging the theoretical possibility of a total collapse—”If you think it’s going to zero, then we’ll deal with that”—Saylor’s conviction remains unshaken. He concluded, “But I don’t think it’s going to zero, and I don’t think it’s going to $8,000 either.” This unwavering belief in Bitcoin’s fundamental value, paired with a structured financial plan involving cash reserves and debt management, defines MicroStrategy’s high-stakes strategy. As the firm continues to buy the dip, the market watches to see if this blueprint for corporate crypto treasury management can withstand the test of time and price volatility.