Michael Saylor Defends Institutional Ownership of Bitcoin Amid Criticism
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Saylor on Government Seizure Risks
Addressing concerns about the risk of government seizure as more Bitcoin is held by third-party custodians, Saylor stated, "When Bitcoin is held by unregulated entities or crypto-anarchists, it increases the risk of seizure." He suggested that institutions like BlackRock or MicroStrategy would comply with tax and reporting requirements, unlike self-sovereign Bitcoiners. Ironically, Saylor himself has previously settled claims of tax evasion and accounting fraud, paying $40 million and $8.5 million, respectively.
Dismissal of Self-Custody Advocates
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Saylor also downplayed the importance of self-custody, dismissing concerns raised by the OG crypto community. He stated that 99.9% of the money resides in the traditional economy, suggesting that the risk of seizure is mostly a concern for “paranoid crypto-anarchists.” He further dismissed the idea of a government Bitcoin seizure as a “trope,” pointing to the 1933 US gold seizure, which did not result in widespread forced confiscation.
Backlash from the Bitcoin Community
Saylor’s remarks sparked backlash from the Bitcoin community, with many changing their usernames to "paranoid crypto-anarchist" in protest. Critics labeled Saylor as a “shill for the government” and questioned his loyalty to Bitcoin’s original principles. Some speculated that Saylor could face challenges in a potential Bitcoin network split, with regulatory-compliant entities favoring one side.