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21 sats \ 3 replies \ @Solomonsatoshi 26 Apr \ on: What is Saylor doing? econ
'all that is with the expectation to sell it a future date'
No the expectation and fundamental premise these people are working upon is that Bitcoin price relative to fiat will continue to rise.
There is no need to sell the Bitcoin as long as that occurs as you have an appreciating asset and investors in Strategy shares can cash out the leveraged gains if they wish but Strategy itself never needs to sell the Bitcoin.
It is seeing and treating Bitcoin as a speculative commodity and enabling profit taking without Strategy ever selling any of the commodity itself. Shareholders can cash out as long as others are willing to buy in.
How are the bondholders paid back?
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Good point!
Note- 'the expectation and fundamental premise these people are working upon is that Bitcoin price relative to fiat will continue to rise.'
As long as BTC price is still rising (or even if it isn't) - guess the plan is to issue more bonds, and eternally roll over the debt bomb?
Same way the US government uses USTs!
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