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Michael Saylor proposes $5T boost for Microsoft with Bitcoin

Michael Saylor proposes $5T boost for Microsoft with Bitcoin

GrafaGrafa2024/12/02 03:30
By:Mahathir Bayena

Michael Saylor, chair of MicroStrategy, presented a bold proposal to Microsoft’s board, suggesting that investing heavily in Bitcoin (CRYPTO:BTC) could potentially add $5 trillion to the tech giant’s market capitalisation. 

In a December 1 video, Saylor revealed a three-minute pitch backed by 44 slides, advocating for Microsoft to redirect its cash flows, dividends, stock buybacks, and debt into Bitcoin. 

“Microsoft can’t afford to miss the next technology wave, and Bitcoin is that wave,” he stated.

Saylor's presentation emphasised that adopting Bitcoin could significantly enhance shareholder value. 

“If you do that, you’ll add hundreds of dollars to the stock price. You can create trillions of dollars of enterprise value. You can strip away risk from your shareholders,” he asserted. 

According to the pitch, leveraging all available resources to purchase Bitcoin could raise Microsoft’s share price by up to $584 over the next decade, assuming Bitcoin reaches $1.7 million per coin by 2034. 

This strategy, Saylor claimed, could add $4.9 trillion to Microsoft's value, complementing its current $3.18 trillion market cap. 

Microsoft is presently ranked as the third most valuable company globally, following Apple and Nvidia. 

Saylor also highlighted Bitcoin's strong performance in 2024, with its price surging by 120% year-to-date to approach $100,000. 

MicroStrategy, known for its Bitcoin acquisitions, holds 386,700 BTC purchased at $21.9 billion, now valued at approximately $37.6 billion. 

The company's stock has also experienced significant growth, increasing by over 465% in 2024. 

“It’s time for Microsoft to evaluate its Bitcoin strategic options. So do the right thing for the world and adopt Bitcoin,” Saylor concluded his pitch with a direct appeal.

He positioned Bitcoin as a key opportunity for long-term growth and risk mitigation. 

At the time of reporting, the Bitcoin (BTC) price was $97,672.85.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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