- Michael Saylor suggests Microsoft could add $5 trillion by investing its resources in Bitcoin.
- Saylor projects Bitcoin could raise Microsoft’s stock by $584 per share by 2034.
- Bitcoin’s 62% return rate outperforms Microsoft’s 18%, offering higher potential returns.
Michael Saylor, chair of MicroStrategy and a known Bitcoin advocate, recently made an ambitious pitch to Microsoft’s board of directors. His proposal shows that Microsoft could add up to $5 trillion to its market value by investing heavily in Bitcoin.
Saylor’s pitch, delivered through a presentation of 44 slides in just over three minutes, centered around the idea that Bitcoin is the next big technology wave.
During the presentation, Saylor urged Microsoft to shift its financial strategy by converting its existing resources into Bitcoin. The assets include cash flows, dividends, stock buybacks, and debt. He argued that doing so could significantly boost Microsoft’s stock price and enterprise value.
Projected Gains
Saylor’s proposal estimated that if Microsoft adopted Bitcoin and the cryptocurrency’s value rose to $1.7 million per coin by 2034, Microsoft’s stock could increase by $584 per share. This would equate to an additional $4.9 trillion in market value. With a current market cap of $3.18 trillion, this strategy could propel Microsoft to new financial heights.
Bitcoin’s surge this year, jumping 120% to nearly $100,000. This has helped fuel similar optimism. MicroStrategy, which holds 386,700 BTC, has seen its Bitcoin holdings soar to $37.6 billion, boosting its stock price by 465% in 2024 alone.
Bitcoin as a Unique Acquisition Target
Saylor framed Bitcoin as a strategic acquisition opportunity for Microsoft. He emphasized that unlike traditional mergers and acquisitions, Bitcoin offers an always-available option for capital deployment. With Bitcoin’s average annual return of 62%, compared to Microsoft’s 18%, Saylor proposed that the tech giant could see improved returns by holding the cryptocurrency.
Saylor concluded his pitch by urging Microsoft to seriously consider its Bitcoin strategy and embrace the digital asset to unlock massive potential value.
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