Bitcoin (BTC) as a store of value “scales very well”, The company’s CEO has said that he just bought 38,250 BTC.
In one Tweet 17th of September, Michael Saylor revealed more information about MicroStrategy’s dramatic start towards Bitcoin.
Saylor praises Bitcoin as a scalable store of value
Continuously in the headlines since your first purchase in August, MicroStrategy has converted more than $ 400 million of excess capital from USD to BTC.
In an interview this week between Saylor and Morgan Creek Digital co-founder Anthony Pompliano, he underscored his commitment, even though he had previously been very skeptical of Bitcoin.
Now, His belief in the technical foundations of the web – and its future – is true. The problem of escalating to meet demand, for example, is not a problem for Saylor thanks to transactions outside the chain.
MicroStrategy’s first purchase, 21,454 BTC for $ 250 million, was one such example.
“”We acquire 21,454 BTC through 78,388 off-chain transactions and then secure them to offline storage with 18 on-chain transactions“wrote.
“#Bitcoin can be scaled very well as a store of value.”
Woo: 2021 could be the year of MicroStrategy’s bitcoin pioneers
Saylor described A status quo in which chain deals will remain a rarity for major investors:
“If #Bitcoin is treated as a treasury reserve asset under our model, 99.98% of all transactions will be off-chain and assets at risk will be stored offline 99.92% of the time.”
Off-chain transactions via solutions like the Lightning Network make it possible to increase the volume of Bitcoin transactions without adding more volume to the blockchain and fee increase to attract miners.
In his popular book The Bitcoin Standard, Saifedean Ammous also argues that out-of-chain activity will become the norm once Bitcoin reaches a much larger user base..
That could happen sooner rather than later. After the interview with Pompliano, el statistics Willy woos He returned to Saylor highlighting the 35,000 public companies with $ 5 trillion in cash on hand.
“I realize it If others follow MicroStrategy’s lead and only 1% of that capital finds its way into BTC, that’s enough for Bitcoin to reach # 2T“he wrote on Twitter.
Woo added that Given that it took MicroStrategy six months to approve the switch to Bitcoin, copycat movements would begin in 2021.
Don’t stop reading: