Peter Schiff Jabs at MicroStrategy’s Bitcoin Spending Frenzy
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Aggressive Buying Raises Eyebrows
In a recent tweet, Schiff highlighted MicroStrategy’s swift execution of its ambitious $42 billion three-year Bitcoin plan, noting that the company has already spent $6.63 billion in just under three weeks. Schiff quipped, “At this rate, the entire plan will be completed in under four months. Then Saylor is gonna need a bigger plan.”
MicroStrategy recently purchased 51,780 Bitcoin for approximately $4.6 billion, increasing its total holdings to 331,200 BTC acquired at a combined cost of $16.5 billion. With Bitcoin’s current market price exceeding $30 billion, the company's strategy seems to be paying off, at least for now.
Strategic Reserve Asset
MicroStrategy views Bitcoin as a strategic reserve asset, offering exposure to digital currencies as an alternative to traditional financial tools. The company plans to fund its purchases through equity and debt financing, further cementing its commitment to Bitcoin as a core part of its strategy.
Schiff Remains Skeptical
Known for his anti-Bitcoin stance, Schiff has repeatedly criticized MicroStrategy’s approach. Last month, he predicted a “bloodbath” for the company’s stock, calling it overvalued compared to traditional gold mining firms.
Market Reaction
At press time, Bitcoin was trading at $91,274.52, up 0.91% in 24 hours. MicroStrategy’s stock also surged, closing at $384.79, marking an impressive 455% gain year-to-date, defying skeptics like Schiff.
As MicroStrategy charges ahead with its bold plan, the crypto world continues to watch closely, while critics like Schiff remain vocal about the risks.