Wu said that Strive's Chief Risk Officer stated that the core reason for holding MSTR is not only to gain Bitcoin leverage exposure but also because, as a publicly traded company included in a market-cap-weighted index fund, its asset and liability values and market capitalization increase, raising its index weight, which may drive passive fund rebalancing purchases, creating a reflexive cycle. He also pointed out that MSTR offers an almost cost-free leveraged Bitcoin exposure, with a deep options market that can be used for hedging and income strategies; its Bitcoin is not just a static holding but is used as productive capital to generate Bitcoin returns.

BTC-2.70%
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • Comment
  • Repost
  • Share
Comment
Add a comment
Add a comment
No comments