Whenever there is talk of bitcoin holdings, there is always a mention of Strategy Company, formerly known as MicroStrategy. Now once again Strategy’s head Michael Saylor is going to make a big bet in terms of bitcoin holdings and is planning to acquire bitcoins worth $84 billion. In such a situation, it is expected that the price of bitcoin can reach around $1 lakh.
What is Michael Saylor’s plan?
Michael Saylor’s company, Strategy, has planned to acquire Bitcoin worth $84 billion. Under this plan, funding will be from $42 billion in equity and $42 billion in fixed income. On the other hand, a target of 25 percent yield (return) has been fixed for Bitcoin holding by 2025. In such a situation, it is expected that with this move of Michael Saylor, the price of Bitcoin can reach around $100,000. Why is Michael Saylor making a strategy to buy more Bitcoin? Read in detail here
It is worth noting that Strategy Company has already bought 5,53,555 bitcoins, the estimated value of which is around $37.9 billion. Michael Saylor has also informed through Twitter that the target yield (return) on bitcoin investment has been increased from 15 percent to 25 percent by 2025. In such a situation, it is clear that the Strategy will adopt the strategy of buying bitcoin very fast.
What will be the effect on Bitcoin and the market?
With this planning of Michael Saylor, about 2 percent of the current supply of Bitcoin will be locked, and due to this, there will be a shortage of Bitcoin in the market. In such a situation, bullish pressure is sure to be created on the price of Bitcoin, that is, if there is a direct shortage of Bitcoin, the demand will increase, due to which the price of Bitcoin can reach $ 1,00,000.
Institutional investment will increase the credibility of the crypto market
Experts believe that this plan of Michael Saylor will increase institutional investment in the crypto market, and this will increase the confidence of investors towards Bitcoin as well as other cryptocurrencies like Ethereum and other big altcoins. In such a situation, work will also be done rapidly towards regulatory changes and technical improvements. With the increase in institutional investment, the hope of transparency as well as stability in the crypto market will also increase.
This big step of Michael Saylor and his company, Strategy, can prove to be historic. It is worth noting that Bitcoin is no longer just a virtual currency but has been established as a serious financial asset. When a company invests a large part of its capital in digital currency under institutional investment, it signals a digital future among investors.