Saylor compares Bitcoin and S&P 500, pitches new Bitcoin product
Michael Saylor, executive chairman of Strategy Inc., argued that Bitcoin has the potential to outpace the S&P 500 over the long term, even as most traditional investors continue to favor stocks, bonds, and dividend-paying assets.
Speaking on Natalie Brunell’s Coin Stories podcast, Saylor also unveiled details of his firm’s latest financial instrument, STRK, designed to bridge Bitcoin with institutional investors seeking steady returns.
Saylor downplayed concerns about Bitcoin’s recent price consolidation, noting that market participants often overreact to small downturns. “Adoption is still growing, it’s still scarce, and institutions are still interested,” he said, emphasizing that the fundamentals remain intact despite short-term volatility.
The centerpiece of Strategy Inc.’s push is STRK, a preferred stock instrument with no maturity date and a variable rate, paying a 9% annualized dividend distributed monthly. Since launching earlier this year, STRK has attracted $2.5 billion in subscriptions, with an additional $4.2 billion available through an at-the-market program.
Saylor positioned STRK as a way to turn Bitcoin’s growth potential into a structured product, enabling exposure without the operational complexities of custody and management. For institutional investors wary of volatility, he argued, the product provides predictable income while maintaining upside to Bitcoin’s long-term growth.
Beyond STRK, Strategy Inc. is working on additional instruments - STRF, STRD, and STRC - to create what Saylor described as a “Bitcoin-backed yield curve.” The goal is to provide different options for investors with varying risk appetites, ranging from conservative income to higher-yield exposure.
Saylor contrasted traditional investment strategies with Bitcoin’s potential. “Investors stick to the S&P 500, bonds, or dividend stocks because they feel safe. But over decades, Bitcoin can grow faster than the S&P 500,” he said. He added that Bitcoin is evolving from a speculative asset into a foundation for structured financial products, digital lending, and even a full Bitcoin-backed financial system.
For Saylor, products like STRK mark Bitcoin’s shift from a passive “digital gold” narrative toward becoming a productive asset class, comparable to U.S. Treasuries in traditional finance. Structured products with predictable returns, he said, could bring in the cautious institutional investors who have largely avoided Bitcoin until now.“Bitcoin has always had ups and downs,” Saylor said, “but these tools make it easier for large investors to step in during uncertainty.”
Saylor downplayed concerns about Bitcoin’s recent price consolidation, noting that market participants often overreact to small downturns. “Adoption is still growing, it’s still scarce, and institutions are still interested,” he said, emphasizing that the fundamentals remain intact despite short-term volatility.
The centerpiece of Strategy Inc.’s push is STRK, a preferred stock instrument with no maturity date and a variable rate, paying a 9% annualized dividend distributed monthly. Since launching earlier this year, STRK has attracted $2.5 billion in subscriptions, with an additional $4.2 billion available through an at-the-market program.
Saylor positioned STRK as a way to turn Bitcoin’s growth potential into a structured product, enabling exposure without the operational complexities of custody and management. For institutional investors wary of volatility, he argued, the product provides predictable income while maintaining upside to Bitcoin’s long-term growth.
Beyond STRK, Strategy Inc. is working on additional instruments - STRF, STRD, and STRC - to create what Saylor described as a “Bitcoin-backed yield curve.” The goal is to provide different options for investors with varying risk appetites, ranging from conservative income to higher-yield exposure.
Bitcoin vs. the S&P 500
Saylor contrasted traditional investment strategies with Bitcoin’s potential. “Investors stick to the S&P 500, bonds, or dividend stocks because they feel safe. But over decades, Bitcoin can grow faster than the S&P 500,” he said. He added that Bitcoin is evolving from a speculative asset into a foundation for structured financial products, digital lending, and even a full Bitcoin-backed financial system.
For Saylor, products like STRK mark Bitcoin’s shift from a passive “digital gold” narrative toward becoming a productive asset class, comparable to U.S. Treasuries in traditional finance. Structured products with predictable returns, he said, could bring in the cautious institutional investors who have largely avoided Bitcoin until now.“Bitcoin has always had ups and downs,” Saylor said, “but these tools make it easier for large investors to step in during uncertainty.”
Author
Has been exploring the enigmas of the crypto industry since 2017, transforming them into accessible narratives. Relies on dark chocolate and nuts as a secret source of energy and inspiration.
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