Michael Saylor Pitches ‘Bitcoin Strategy’ to Microsoft Board, Predicts $5 Trillion Market Cap Gain

Bitcoin Michael Saylor Microsoft

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Ruholamin Haqshanas

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Ruholamin Haqshanas

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Ruholamin Haqshanas is a contributing crypto writer for CryptoNews. He is a crypto and finance journalist with over four years of experience. Ruholamin has been featured in several high-profile crypto...

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December 1, 2024

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MicroStrategy Executive Chairman Michael Saylor has pitched Bitcoin strategy to Microsoft’s board of directors, suggesting the tech giant could gain nearly $5 trillion in market capitalization by fully embracing Bitcoin.

In a presentation shared on December 1, Saylor mentioned the transformative potential of Bitcoin, asserting that Microsoft must seize the opportunity to lead in the next technological wave.

“Microsoft can’t afford to miss the next technology wave, and Bitcoin is that wave,” he declared.

Saylor Prposes Microsoft Converts its Cash Flows into Bitcoin

Saylor proposed that Microsoft convert its cash flows, dividend payouts, stock buybacks, and debt into Bitcoin, predicting significant financial rewards for shareholders.

“If you do that, you’ll add hundreds of dollars to the stock price,” he argued, adding that this move could create trillions of dollars in enterprise value while reducing shareholder risks.

According to Saylor’s analysis, Bitcoin could potentially add up to $584 per share to Microsoft’s stock price over the next decade.

This assumes a scenario where Bitcoin’s value reaches $1.7 million by 2034, with Microsoft investing all its treasury and financial resources into the cryptocurrency.

This strategy, Saylor claimed, could elevate Microsoft’s market cap by $4.9 trillion.

Currently valued at $3.18 trillion, Microsoft ranks as the third most valuable company globally, behind Apple Inc. and Nvidia Corp.

Bitcoin’s recent performance lends weight to Saylor’s argument.

The cryptocurrency has surged by 120% this year, climbing nearly 40% in the past month alone to approach the $100,000 mark.

Since 2020, MicroStrategy has acquired 386,700 Bitcoin for $21.9 billion, an investment now worth approximately $37.6 billion with Bitcoin priced at $97,200.

This strategy has propelled MicroStrategy’s stock by 465.5% in 2024, with shares hitting a record high of $421.88 in November.

Saylor also highlighted growing public and political support for Bitcoin, describing it as part of a “crypto renaissance.”

He pointed to pro-crypto statements from U.S. President-elect Donald Trump and the introduction of Bitcoin investment products by major Wall Street firms.

Saylor Asks Microsoft to Allocate $100B Annually to Bitcoin

In his proposal, Saylor urged Microsoft to allocate $100 billion annually to Bitcoin investments.

He argued that buying Bitcoin would be more advantageous than repurchasing company stock or holding bonds.

“What if you could buy a $100 billion company growing faster than Microsoft for 1 times revenue?” he asked, underscoring Bitcoin’s potential as a high-growth asset.

Saylor concluded his pitch with a rallying call for Microsoft to act decisively.

“It’s time for Microsoft to evaluate its Bitcoin strategic options,” he said. “Do the right thing for the world and adopt Bitcoin.”

Last week, Brazilian Congressman Eros Biondini introduced a bill proposing the creation of a national Bitcoin reserve.

Dubbed the “Reserva Estratégica Soberana de Bitcoins” (RESBit), or Strategic Sovereign Bitcoin Reserve, the proposal seeks to allocate up to 5% of Brazil’s $372 billion in international reserves to Bitcoin.

As reported, Texas lawmakers are also exploring launching a strategic Bitcoin reserve, according to the Satoshi Action Fund (SAF), a nonprofit advocacy group.