Claim BonusBitcoin Maverick Michael Saylor Drops CEO Role At MicroStrategy After Reporting $1 Billion Loss
One of the biggest Bitcoin proponents Michael Saylor has stepped down from the position of CEO of his business intelligence firm MicroStrategy. The announcement came on Tuesday, August 2, as the company reported a second-quarter loss of around $1 billion.
Of these, a $917.8 million loss was in the form of impairment charges due to the decline in the price of Bitcoin. As of June 30, MicroStrategy reported that they were holding 129,699 Bitcoins worth $1.988 billion. The company has been accumulating Bitcoins since the summer of 2020.
However, Saylor will now serve as the executive chairman of MicroStrategy. He said that he will now put his exclusive focus on hoarding cryptocurrencies. In a statement on Tuesday, Saylor said:
“As Executive Chairman I will be able to focus more on our bitcoin acquisition strategy and related bitcoin advocacy initiatives, while Phong will be empowered as CEO to manage overall corporate operations.”
Short Bets On MicroStrategy Surge
Following the Bitcoin correction this year, the stock of MicroStrategy (NASDAQ: MSTR) has come under severe pressure. Although crypto proponents have been backing Saylor’s Bitcoin bet, some Wall Street analysts don’t see it as a strong move for a public listed company.
As per the latest Bloomberg report, short bets on MicroStrategy have been piling up recently. The MSTR stock has seen a partial rebound along with the BTC price last month in July. However, some skeptics believe that this could quickly flame out. As per the Bloomberg report,
“A record 51% of MicroStrategy’s available shares are currently sold short, carrying a notional value of $1.35 billion, according to financial analytics firm S3 Partners. The all-time high of 4.73 million shares shorted has soared by 1.2 million shares over the past 30 days alone, S3 says”.
However, if the BTC price manages to recover from here, it could also drive the MSTR stock price higher. As of press time, Bitcoin is trading at $22,865 with a market cap of $436 billion.
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more… to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Delivered every day.
- Insights that move markets
- 100,000 active subscribers
Related Articles
- $3.5T Banking Giant Goldman Sachs Discloses $2.3B Bitcoin, Ethereum, XRP, and Solana Exposure
- Why is XRP Price Dropping Today?
- Breaking: FTX’s Sam Bankman-Fried (SBF) Seeks New Trial Amid Push For Trump’s Pardon
- Fed’s Hammack Says Rate Cuts May Stay on Hold Ahead of Jobs, CPI Data Release
- $800B Interactive Brokers Launches Bitcoin, Ethereum Futures via Coinbase Derivatives
- Bitcoin Price Analysis Ahead of US NFP Data, Inflation Report, White House Crypto Summit
- Ethereum Price Outlook As Vitalik Dumps ETH While Wall Street Accumulates
- XRP Price Prediction Ahead of White House Meeting That Could Fuel Clarity Act Hopes
- Cardano Price Prediction as Bitcoin Stuggles Around $70k
- Bitcoin Price at Risk of Falling to $60k as Goldman Sachs Issues Major Warning on US Stocks
- Pi Network Price Outlook Ahead of This Week’s 82M Token Unlock: What’s Next for Pi?
