Anushka Basu
2 min read
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Saylor has a shocking backup plan if Strategy stock crashes below $1 originally appeared on TheStreet.
At the Bitcoin conference in Las Vegas, Strategy's Executive Chairman, Michael Saylor, addressed concerns surrounding the company's market performance, specifically where there was speculation on what would happen if its multiple to net asset value (mNAV) dropped below 1 (which occurred in a prior bear cycle).
Saylor drew a stark contrast between Strategy and the Grayscale Bitcoin Trust (GBTC), stating that while GBTC was a closed-end trust without any capital structure flexibility, Strategy operated as a fluid business. "For any company to fall below one mNAV, shareholders have lost faith in the management," he said, as per Coindesk reports.
He explained that if the stock price of Strategy fell low enough, the company could sell some of its financial products, such as STRK and STRF, to raise money, and then use that money to buy its stock.
This would improve the stock price and communicate to investors that the company is strong and in control. "To create value, you need option value. The more options, the greater the value," Saylor explained.
Saylor emphasized Strategy's access to three capital markets from ATM, which he termed the foundation of the company. “What makes our company a monster,” he concluded, “is having multi-channel liquidity and operational flexibility.” Saylor's conclusion about Strategy's flexibility to navigate future volatility.
Yesterday, on May 29, MicroStrategy shares remained stable, indicating that MicroStrategy's shareholders are confident in Bitcoin's long-term potential as a cryptocurrency, given that MicroStrategy's investment strategy centers on holding Bitcoin.
Bitcoin fell approximately 1.65% over 24 hours to approximately $106,009, while MicroStrategy shares incrementally gained approximately 0.64% to $366.57.
Bitcoin is currently trading at $105,262.05, down about 1.60% as Kraken's price indicates, and MicroStrategy's stock is currently also down about 1.69%, nearly the same amount that Bitcoin declined in the last 24 hours.
Saylor has a shocking backup plan if Strategy stock crashes below $1 first appeared on TheStreet on May 30, 2025
This story was originally reported by TheStreet on May 30, 2025, where it first appeared.
