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People are scared by the concept of self-custody. They are scared by cryptography. They are scared by exchanges. The result is that they are not willing to buy and hold real bitcoin. They are used to paper assets, their whole lives have been chasing paper assets. And now that paper Bitcoin is here, they're buying it up because it looks just like all the other things in their portfolios.
True, very true. And Saylor is right there to hold their hand -- at a nice, cushy cost equal to the difference between bitcoin's CAGR return and what the prefs are paying paper investors.

Not sure why you disliked with this piece? It was funny, it was illustrative, and it got to something that critics haven't touched on yet: HOW exactly these schemes fall apart.
Strategy is conservatively-af financed: all the BTC is "unemcumbered"; they can print as many MSTR shares as they want to satisfy converts. Hendrickson points out the two ways that this play can fall apart: 1: bitcoin itself collapsing (which nobody here thinks) 2: the regulatory moat/arbitrage that Strategy is profiting off shrinks or goes away:
these companies are betting on a joint hypothesis: (1) that bitcoin will play a major role in global finance, and (2) that the current regulatory and market segmentation will persist.
P.S.: very happy that Mr. Scoresby is taking over my role of covering Economic Forces for ~econ!
I'm not happy. I do a very poor coverage of economic things, most likely half of it is wrong. I'd much prefer to get my economic updates from a purple monkey.
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