Michael Saylor: Even if Bitcoin drops by 90%, the Strategy will continue.

Source: BTCHaber Original Title: Michael Saylor: “BTC would continue on its strategy even if it drops by 90%” Original Link: Michael Saylor, who serves as the chairman of the board of Strategy, made important statements about Bitcoin and his company during a television broadcast he participated in recently.

The Cyclical Structure of Bitcoin

Saylor responded to the question of whether the recent downturn in the market has caused a change in Bitcoin's value proposition by saying: “You know that Bitcoin has been around for 15 years. So far, it has experienced 15 major declines and has always returned to a new all-time high. This is normal in the life cycle of an emerging transformational asset class. It's a healthy thing because it cleans out short-term investors, leveraged positions, and weak investors, laying the foundation for the next upward rally.”

Decrease in Volatility

Saylor, stating that the volatility of Bitcoin prices has actually decreased: “When I entered this space in 2020, Bitcoin was an asset that grew by about 80 percent a year, with a volatility of 80 points. This has gradually fallen to 70, then 60, and now to 50. As Bitcoin matures, it is moving towards being an asset that is about 1.5 times more volatile and performs 1.5 times better than the S&P index.”

The Financial Power of Strategy

Saylor made the following statement regarding the business model of Strategy borrowing to buy Bitcoin: “The company's value has increased by about 70% over the last five years. Bitcoin has increased by about 50% over the last five years. We have over 50 billion dollars in equity and we are a financial power center. There is billions of dollars in liquidity in our stock every day.”

Durability Tests

In response to the question of what will happen if Bitcoin falls further, Saylor said: “The company is designed to take an 80-90% drop and continue to operate. Our leverage level is around 10-15% and is currently heading towards zero. We are in an extremely strong position.”

According to Saylor, even if Bitcoin increases by 1.25% per year, the company can pay dividends indefinitely and create more shareholder value.