BTC is the future! Microstrategy recommends Microsoft to abandon stock buybacks and fully embrace BTC

MicroStrategy founder and chairman Michael Saylor, a well-known BTC bull, recently advised the Microsoft board and chairman/CEO Nadella (Satya Nadella) that "BTC is the asset that Microsoft should embrace."

Blocktempest reported earlier that Michael Saylor has agreed to give a 3-minute presentation to the Microsoft board to advocate for BTC investment. He recently shared a clip of the presentation on social media and bluntly stated:

Microsoft must not miss the next wave of technological innovation, and this wave is Bitcoin (BTC).

Michael Saylor pointed out, "BTC is the most important digital transformation of the 21st century, and it is the future of digital capital."

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According to Google Finance data, Microsoft's stock price closed slightly up by 0.11% last Friday, reporting $423.46, with a cumulative increase of 3.67% in the past month.

MicroStrategy's BTC layout

MicroStrategy started buying BTC in 2020 and adopted BTC as the company's strategic reserve asset.

As of now, the company holds a total of 386,700 BTC, which is worth more than 37 billion USD at the current market price. The latest addition was the purchase of 55,500 BTC last month.

Benefiting from the rise in BTC prices and a positive BTC strategy, MicroStrategy's stock price has surged 465% this year. Despite a slight decline of 0.35% to $387.47 at the close last Friday, it rebounded 2.15% in after-hours trading.

Michael Saylor suggests Microsoft to stop stock buybacks and buy BTC

In his presentation, Michael Saylor further stated that Microsoft should reconsider the company's capital allocation strategy. He suggested that rather than continuously repurchasing stocks or holding bonds, Microsoft should directly purchase BTC. He said:

Over the past 5 years, you have abandoned 100s of billions of dollars in capital, only to increase the risks faced by shareholders. To break free from this vicious cycle, you need to have an asset (BTC) that does not involve counterparty risk at all.

He even predicted that if Microsoft could convert cash flow, dividends, buyback plans, and debt into Bitcoin, by 2034, Microsoft's stock price could increase by $584 per share, and the enterprise value is more likely to soar to $4.9 trillion.

Michael Saylor's remarks not only highlight his firm belief in Bitcoin, but also make the market curious about whether tech giants like Microsoft will really consider incorporating Bitcoin into their asset allocation, paving the way for future digital transformation.

【Disclaimer】There are risks in the market, and investment needs to be cautious. This article does not constitute investment advice, and users should consider whether any opinions, viewpoints, or conclusions in this article are appropriate to their specific circumstances. Investing based on this is at your own risk.

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"BTC is the future! Microstrategy recommends Microsoft to give up stock buybacks and fully embrace BTC" This article was first published in 'encryption city'