June 19, 2026



To be honest, a company issuing so many types of debt-like stocks is inherently risky. Through various layered financial tricks, they use retail investors' money to buy BTC. Not to mention that BTC's price could experience extreme crashes; even if it keeps rising, other systemic risks could occur. Of course, currently MicroStrategy holds more Bitcoin than the company's market value, but no one can predict BTC's price, and it's not like MicroStrategy's buying alone can push the price up completely. Therefore, as the bear market continues, a MicroStrategy default as a landmark event is not impossible.

What I find harder to understand is, for people in the crypto world, why not just buy Bitcoin directly if they can get annualized returns of over ten percent? Recently, I saw many people promoting this STRC, claiming they bought a certain amount. I think they might be feeling pretty uncomfortable lately. Of course, I’m not saying MicroStrategy will definitely default, and I don’t want MicroStrategy to default either. It’s just that, with financial products, retail investors should generally be cautious.

Happy Dragon Boat Festival!
BTC1.07%
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