This has to be THE news of the day if you're into Crypto... which you are.

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Today, MicroStrategy (MSTR) announced that it bought 21,000 BTC for approximately $250 million.

https://cointelegraph.com/news/worlds-biggest-business-intelligence-firm-buys-21k-btc-for-250m

OH SH*T!!

If you can't understand the implication of this, you're not thinking hard enough. First off, recognize that MicroStrategy is a publicly traded with a market capitalization of $1.3 billion and an operating history of over 30 years. This is no small-time operation, as the company is one of the largest business intelligence firms in the world.

  • This is important for business. Why? Because the company has now publicly declared that cryptocurrency is safer to hold than the almighty US Dollar.

  • This is important for investors. Why? Because access to cryptocurrency on the public markets has thus far been limited to Grayscale Bitcoin Trust, a far from ideal investment to buy & hold given that its structured as as trust (especially as they continue to sell cryptocurrency in order to stay afloat as well).

  • This is important because it initiates a potential trend. No longer is cryptocurrency part of some excluded world. It's now encapsulated within the business fabric of a leading publicly traded company operating as a hedge against inflation. Based on the company's performance, there will likely be others to join in on this trend - especially if the market reaction itself provides a boost (as it already seems to have done).

I like to think of this move that is akin to the realization that McDonald's was not actually a restaurant company, but a land company making its profits off leasing that land to its franchises. In a very similar fashion, MicroStrategy has now become a "real estate" company in the world of crypto (bitcoin) operating a business intelligence platform that is independent of the company's holdings. It's market value is now tied to something that is outside of the dollar's natural decline defined through its dilutive nature.

Best of all, one can stuff this sucker into a IRA with ease for the tax benefits....

Posted Using LeoFinance



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