The core answer is simple: despite losing billions on paper as Bitcoin plunged, MicroStrategy (now branded as Strategy) remains a high-profile institutional investor in digital assets—and Michael Saylor’s play still carries weight in shaping the market.
A Bold Treasury Strategy Anchored in Bitcoin
MicroStrategy’s pivot began in mid‑2020, when Michael Saylor—in a twist few corporate leaders would dare—chose to store value in Bitcoin rather than cash. He described Bitcoin as a non‑governmental store of value, likening it to a highly desirable piece of real estate. That move kickstarted the notion of public companies treating crypto as a treasury asset.
That call remains consequential. Even now, Strategy holds over 713,000 bitcoins, roughly 3 percent of all bitcoins in circulation, acquired at an average cost just over \$76,000 per coin.
Weathering a Crypto Winter
Lately, that strategy has been battered. In the last quarter of 2025, the company recorded a staggering \$12.4 billion net loss—driven largely by a \$17.4 billion fair‑value markdown on its BTC holdings. Meanwhile, Bitcoin suffered its worst 24‑hour drop since the 2022 crash, plunging 13 percent in early February.
Still, Strategy isn’t collapsing. It retains a \$2 billion cash reserve, minimal near-term debt, and 30 months of dividend coverage. And even as the share price slides—down about 70 percent from its July 2025 peak—Saylor remains publicly committed to the long game, urging holders to “HODL.”
Why Saylor’s Bet Still Moves Markets
1. It’s a Corporate Bellwether for Bitcoin Sentiment
Every Saylor move and market reaction tells a fuller story about institutional appetite for crypto and risk sentiment. When he doubles down—even in downturns—it sends ripples beyond corporate filings.
2. Alternative Treasury Playbook
By issuing convertible notes and ATM stock programs to fund BTC buys, Strategy has essentially created a repeatable model for public companies to allocate capital into digital assets. Its aggressive yield metrics—some quarters reporting BTC yields in double digits—become talking points for both critics and admirers.
3. Centralizing Corporate Bitcoin Discourse
Saylor is as outspoken as any corporate leader on Bitcoin’s future. Whether he’s projecting Bitcoin at \$21 million per coin by 2046 or weighing in on policy, his narrative amplifies crypto in finance and politics.
The Risk-Reward Narrative Remains Compelling
Despite losses, Strategy trades at a modest premium to its net asset value—a signal that some investors still see a path back upward. Meanwhile, its load of real—or as Saylor insists—on‑chain, institutionally held Bitcoin (custodied by Fidelity and Coinbase) lends credibility to its strategy.
“We buy real Bitcoin. We don’t rehypothecate.”
That quote, from Saylor’s own post on X, reassures skeptics amid questions about the legitimacy of the company’s holdings.
What It All Means in Practice
- For institutional investors: Strategy acts as an on-chain proxy for Bitcoin exposure—leveraged, publicly traded, and historically liquid.
- For corporate treasury strategists: It’s a vivid case study in both how far you can push alternative-asset adoption—and the pain when markets turn.
- For crypto markets and reporters: Michael Saylor remains a headline magnet, ensuring Strategy stays central to Bitcoin narratives.
Conclusion
Michael Saylor’s strategy continues to matter because it transcends pure finance—it’s a narrative-shaping, trend-setting, institutional experiment that highlights both the potential and volatility of Bitcoin. Even now, after heavy markdowns and criticism, Strategy’s stance signals institutional conviction. And as long as Saylor’s influence echoes in both boardrooms and Bitcoin communities, his bet won’t fade—he’s still among the loudest bells for crypto’s long-term case.
FAQs
Why does MicroStrategy (Strategy) still matter even after big losses?
Because it remains the largest corporate holder of Bitcoin, and Saylor’s moves influence market confidence and institutional sentiment toward crypto.
How much Bitcoin does Strategy hold and at what cost?
As of early February 2026, the company holds about 713,502 BTC, acquired at an average price of around \$76,052 per coin.
Is Strategy financially stable despite crypto volatility?
Yes. It has a healthy cash reserve, minimal debt due before 2027, and over two years of dividend coverage, which cushions it during downturns.
Does Saylor’s prediction about Bitcoin still carry any weight?
Yes. His forecasts—like Bitcoin hitting \$21 million by 2046—are attention grabbers that shape sentiment and fund discussions on crypto policy and adoption.
Could other companies replicate this strategy?
Possibly. Strategy’s approach using debt and stock issuance to fund Bitcoin buys has inspired others. Still, its scale and conviction remain unique.