Bitcoin Blunder? Peter Schiff Blasts Strategy Over Stock Drop

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In a dusty corner of the economic landscape, a well-known economist had once more unleashed his scathing critique upon the debt-riddled Bitcoin acquisition tactics of Michael Saylor and the brood known as Strategy Inc. The company’s share price nosedived like a drunken crow, flailing about in search of a perch.

🤔 Economists like Peter Schiff stood at the edge, pointing fingers with the glee of a child who had just discovered the obvious. He proclaimed that the decision to indulge in a back-to-back buying spree of that digital demon—the firstborn cryptocurrency—had culminated in nothing but shareholder dilution, diminishing the once-grand premium of the firm’s Bitcoin coffers. It’s like pouring fine wine into a sieve.

BTC Premium Down By 85%

Through the wide expanse of the digital ether, Schiff made his musings known. His proclamation echoed, as Strategy Inc.’s stock and Net Asset Value (NAV) premium fell faster than a runaway horse. In a recent missive on X, he noted the ship was sinking while Captain Saylor cheered about their leveraged Bitcoin escapades, generating a laughable yield, a mere 6.9% in the year of our Lord, 2025. Yet, the share price of $MSTR had declined by 6%—a paradox worthy of a Shakespearean tragedy.

“Today, Saylor bragged about his leveraged Bitcoin buys generating a BTC yield of 6.9% so far in 2025. However, the share price of $MSTR is down 6% in 2025,” Schiff lamented, his voice dripping like honey coated in sarcasm.

He continued, suggesting that the rampant dilution had turned shareholder value into ashes, “causing the premium to its crypto holdings to collapse by 85%.” Imagine a pancake collapsing under the weight of its syrup.

“Today, @saylor bragged about his leveraged Bitcoin buys generating a BTC yield of 6.9% so far in 2025. However, the share price of $MSTR is down 6% in 2025, while massive dilution has destroyed shareholder value, causing the premium to its Bitcoin holdings to collapse by 85%.”

— Peter Schiff (@PeterSchiff) February 24, 2025

A lone Bitcoin enthusiast, a digital vagabond, dared to confront Schiff’s proclamations. They declared a disagreement regarding the premium collapse, claiming, “The maths doesn’t add up, buddy!” They wove tales of 499,096 BTC at an average of approximately $97,514 each, conjuring a figure of $48.7 billion. They threw their own numbers into the ring, challenging the doom-laden predictions of the economist as one might challenge a windmill.

Skeptic On The Debt-Fueled Strategy

Yet Schiff was unyielding. He spoke with the fury of a lion awoken too early in the day, decrying the debt financing of these Bitcoin acquisitions. “Those convertible bonds don’t seem to be charming the market,” he scoffed. “Shares plummeted 4.5% today, even as Bitcoin rose by a miraculous 2.5%.”

“It looks like the new $MSTR convertible notes aren’t going over too well. Shares are down 4.5% today, even with Bitcoin up 2.5%,” Schiff noted with a sardonic twist of his lips.

With his penchant for dramatics, Schiff warned that such burdensome debt could become a hangman’s noose when Bitcoin, that capricious sprite, decided to nosedive into the abyss.

“When MSTR trades at a discount to its holdings, the game is over, as selling MSTR shares to buy crypto will produce a negative Bitcoin yield,” he declared, shaking his head as though witnessing a sadomic comedy unfold before his eyes.

BTC Acquisition Strategy

Despite the chorus of disparagement, Strategy Inc. remained unfazed in its relentless pursuit of Bitcoin. They recently announced yet another purchase, 20,356 Bitcoins worth a staggering $1.99 billion, swelling their trove to 478,740 coins valued at $44 billion. Perhaps they fancied themselves as modern-day treasure hunters, navigating stormy seas with their compass set to madness.

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2025-02-26 20:44