Michael Saylor, executive chairman of Microstrategy, has provided an explanation of why bitcoin has emerged as “the world’s most popular investment asset.” He pointed out that the cryptocurrency has “found its footing and now people are beginning to realize that there’s 10 times as much demand for bitcoin coming in through these ETFs as there is supply” coming from the miners, following the rebalancing that followed the introduction of spot bitcoin exchange-traded funds (ETFs).
The Popularity of Bitcoin Soars
Michael Saylor, the executive chairman of Microstrategy, gave an explanation of why bitcoin has grown to be “the world’s most popular investment asset” in a Monday interview with CNBC. Claiming to be the first Bitcoin development company in the world, Microstrategy currently has 190,000 BTC.
Saylor stated, “I think a lot of this is indicative of the popularity of bitcoin as an asset class,” in response to the remarkable price growth of both the Microstrategy stock (Nasdaq: MSTR) and bitcoin. And he went on:
It is currently the most well-liked investment asset worldwide.
Saylor went on, “It’s new, digital, worldwide, distinct, and uncorrelated to traditional risk assets because it comes with no exposure to any particular nation, currency, company, quarterly result, product cycle, or rival — not to weather, not to conflict, not to an employee base or supply chain.
Therefore, it makes sense for sensible investors to include it in their portfolio. The executive chairman of Microstrategy expressed his opinion that the surge of capital in the asset class is being driven by the 10 years of pent-up demand from investors who have been waiting for these [spot bitcoin] ETFs and now that mainstream investors may finally access bitcoin.
Saylor went on to discuss impromptu bitcoin ETF launches. He explained, “At first, there was a rebalancing as people were shifting capital between the miners, the futures market, Microstrategy, and the ETFs.”
After that rebalance, I believe the asset has stabilized, and people are starting to recognize that there is ten times as much demand for bitcoin coming from these ETFs as there is supply coming from the miners, who are the natural sellers of the cryptocurrency.
Do you think that bitcoin is currently the most popular investment asset in the world, as Michael Saylor claims? Please share your thoughts in the section below.