Michael Saylor said Strategy Inc. (NASDAQ:MSTR) bought 175,000 Bitcoin (CRYPTO: BTC) this year and sold just 32, telling critics the uproar over that sale amounts to noise around two basis points of its total holdings.

Saylor Says The 32-Coin Sale Was Legally Immaterial And Didn’t Need Disclosing

Speaking at BTC Prague with host Michaël van de Poppe, Saylor said Strategy didn’t even have to file an 8-K over a 32-coin sale since it falls below SEC materiality thresholds. 

The company chose to disclose it anyway because it publishes its full capital structure every week and updates its website every 15 seconds.

“We sold 32. That works out to be two basis points. It’s two hundredths of 1%,” Saylor said.

He added that the backlash reflects how X rewards inflammatory posts over measured ones, and argued the silent majority of Bitcoin holders aren’t tweeting about the end of the world.

Why Bitcoin Is Lagging Everything Else Right Now

Saylor framed Bitcoin’s underperformance as a capital market problem, not a Bitcoin problem. 

He estimated roughly $500 billion in AI capital is currently pulling money across every asset class, with Google (NASDAQ:GOOGL), Anthropic, OpenAI, and SpaceX (NASDAQ:SPCX) each raising $80 billion simultaneously. 

Wall Street banks are marketing all of those deals at once, and institutional investors are rolling mature positions into the hot new offerings.

“It’s like an AI-driven black hole orbiting through the capital solar system,” Saylor said, estimating Bitcoin absorbed roughly $10 to $15 billion of that outflow. 

He said once AI summer ends and those deals settle, capital will rotate back into Bitcoin because it’s now undervalued relative to its fundamentals, with Q3 being the likely turning point and Q4 the normalization window.

Strategy Needs Bitcoin To Appreciate 3% Annually To Pay Dividends Forever

Saylor addressed the STRC (NASDAQ:STRC) dividend risk directly. He said if Bitcoin appreciates at just 3% annually, roughly in line with inflation, Strategy can pay its preferred dividends indefinitely without selling a single share of common stock. 

At 0% appreciation, the company has roughly 35 to 40 years of coverage before any issue arises.

He also pushed back on the idea that digital credit is straining Bitcoin. Strategy issued $10.5 billion in STRC and used the proceeds to buy $10 billion in Bitcoin. 

Saylor said without that digital credit machine working, the company buys zero Bitcoin instead of 175,000, which would be worse for the market, not better.

The Fundamentals Haven’t Changed, Saylor Says

Saylor pointed to a string of changes over the past two years that he said make Bitcoin’s fundamental case stronger than ever. 

Two years ago, no major bank supported Bitcoin and there were no ETFs. Today, 75% of major banks back it, more than 100 ETFs hold over $100 billion combined, and Bitcoin dominance has climbed from 41% back toward 70%.

Political and regulatory support has shifted just as sharply, with the president, vice president, Fed chair, Treasury secretary, SEC, and CFTC all now backing Bitcoin, alongside improved accounting and tax treatment that didn’t exist before.

“This is something everybody needs, nobody can stop, most people don’t understand,” Saylor said, comparing Bitcoin’s current position to Amazon (NASDAQ:AMZN) in 2010 and Apple (NASDAQ:AAPL) in 2012, both of which looked unstoppable to early investors while conventional wisdom still dismissed them entirely.

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