Leading cryptocurrencies propelling the advancement in digital currency markets
In the world of cryptocurrency, only the US and China own more Bitcoin than the UK – at least for now. The UK has its fair share, but it's nothing to brag about when we're talking about 61,000 of the digital gold worth over $6 billion. But hey, if politicians like Rachel Reeves were privy to this info, it might just tempt them to sell it all. Then they'djoin Gordon Brown in the hall of the biggest fools in world history for selling off our gold. But hey, that's history for ya.
Our Bitcoin stash, though, isn't something we found in our backyard. Most of it was seized in the early days when the UK was at the heart of Bitcoin's birth – a lucky legacy, if you will. Alas, our wise regulators, the Financial Conduct Authority (FCA), put a stop to all that, pushing us behind the pack.
But that doesn't mean the UK has given up the fight. In fact, we've got an extraordinary advantage thanks to that little booty we snagged from bygone days. And you know what? We'd be pretty stupid to ignore it. As Bitcoin foams its way into the mainstream, something remarkable is unfolding in the corporate world. This movement is being led by none other than Michael Saylor, the charismatic founder of Strategy.
When I penned an article for our website in 2023, I recommended Strategy, not just because it was a means to snag some Bitcoin through your broker, but because it was a company destined to ride the wave of this digital gold rush. The FCA's relentless attacks on Bitcoin ownership since it was worth $6,000 (and that's a cool $100,000 that UK investors have been saved from) have kept us from leader spot. But hey, them's the breaks.
Fast forward to today, and Strategy has transformed into one of the most sought-after stocks in North America, worth a whopping $100 billion. Saylor, the genius behind the transformation, has turned an ordinary, century-old business-intelligence software firm into a champion of Bitcoin. From buying Bitcoin slowly to catching the Bitcoin bug and going all-in, Saylor has amassed a whopping 555,450 Bitcoins for the company, more than any other publicly traded firm (excluding Bitcoin ETFs). He's even raising the stakes with paper (stocks, debt, convertible notes) to acquire more Bitcoin, essentially printing money and investing it in the hardest money in history – Bitcoin outperforms gold on its scarcity factor.
This bold gamble has paid off: Saylor's investors are retiring early, and it seems like a foregone conclusion that Strategy will become a trillion-dollar corporation, with Saylor poised to become the wealthiest man alive. The best part? He's unleashed a snowball effect, with other companies following suit.
You might call pre-Bitcoin Strategy a zombie company, but it sure found new life when it started diving headfirst into the Bitcoin pool. The ones most likely to jump in, oddly enough, are zombie or near-zombie firms with deep pockets. Tech giant Microsoft, for instance, politely declined Saylor's three-minute pitch to join the Bitcoin frenzy. That's their loss. Others, like GameStop, are learning the hard way: they either dive in or risk sinking further.
Remember GameStop from the early days of lockdown and all the memes? They were a video game retailer with over 3,000 stores, but no one could've foreseen the impact of COVID on their business model. But thanks to savvy investors who noticed a short position exceeding 100% of GameStop's issued shares, they had a chance to bounce back. With $4.7 billion in the bank, low debt, and a newfound love for Bitcoin, who knows what the future holds for GameStop?
The trend is spreading like wildfire, with companies like Metaplanet and even some regulated UK-based firms like Smarter Web Company hopping on the Bitcoin bandwagon. The challenge now lies in understanding how to value these Bitcoin treasury companies – a new beast in the corporate world. But we'll leave that for the financial experts to figure out.
So there you have it. Bitcoin isn't just for artsy programmers anymore – it's making whether you catch the early retirement bus or crash and burn a whole lot easier. Who knows? You might just be the next Michael Saylor. Don't say we didn't warn you.
- In the corporate world, as Bitcoin becomes mainstream, strategic investments are being made, such as Michael Saylor's acquisition of substantial Bitcoin for Strategy, a company I recommended in a newsletter in 2023.
- The trend of investing in Bitcoin is not limited to the technology sector; even regulated UK-based firms like Smarter Web Company are starting to include Bitcoin in their financial strategies.
- In the world of finance and investing, the approach of using Bitcoin, a digital form of gold, is being viewed as a game-changer, potentially transforming the returns on investments, similar to how Michael Saylor’s bold move has significantly escalated the value of Strategy.
