Michael Saylor Defends Bitcoin Strategy as BTC and USD Reserves Exceed Debt

1 hour ago Updated 1 hour ago

Senior Journalist

Boluwatife Adeyemi is a well-experienced crypto news writer and editor with a focus on macro topics, crypto policy and regulation and the intersection between DeFi and TradFi. He has a knack for simplifying the most technical concepts and making them easy for crypto newbies to understand. Boluwatife is also a lawyer, who holds a law degree from the University of Ibadan. He also holds a certification in Digital Marketing. Away from writing, he is an avid basketball lover, a traveler, and a part-time degen.

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Highlights

Michael Saylor noted that Strategy's debt exceeded their BTC and USD reserves at some point.
The company notably didn't sell any Bitcoin at that point despite the drawdown in BTC's price.
Saylor signaled that they are in a better position now as their BTC and USD reserves exceed their debt.

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Strategy’s co-founder, Michael Saylor, has cited the market drawdown his company faced in the past, yet the company didn’t sell any BTC even when its debt exceeded its reserves. This comes amid criticism of the company’s approach to buying more BTC using MSTR and the preferred security STRC, despite current market conditions.

Michael Saylor Points To Bitcoin and USD Reserves Exceeding Debt

In an X post, Saylor noted that their BTC and USD reserves exceed their debt by around $48 billion. He also mentioned that Strategy has raised over $60 billion of additional capital and invested it in BTC since 2022.

The Strategy co-founder made this statement in comparison to 2022, when their debt exceeded the combined value of their Bitcoin and cash reserves by around $300 million. Saylor noted that in 2022, the BTC price traded near $20,000, and they held 130,000 BTC worth about $2.6 billion.

At the same time, the MSTR stock traded at $24, split-adjusted. Meanwhile, BTC fell below $16,000, leading to their debt exceeding their reserves and MSTR stock crashing into the $13 range by year-end.

Saylor’s statement comes amid recent criticisms of the company’s Bitcoin accumulation model, with the company selling MSTR and STRC shares to buy more BTC. The STRC stock recently fell to a record low of around $83, down double digits from its $100 par value.

Bitcoin critic Peter Schiff floated an investor lawsuit against Strategy and Saylor as STRC dropped to record lows. He also opined that the Strategy co-founder may be guilty of fraud, based on his belief that Saylor has violated the SEC’s marketing rules in how he has promoted the STRC stock.

Expert Jumps To Saylor’s Defense

In an X post, Fox and Sky News contributor David Gokhshtein remarked that Bitcoin isn’t sitting at its current price because of Saylor. “Some of you are so desperate to blame one person for every move in the market that you’ve completely lost the plot,” he said.

Comparing Michael Saylor to Do Kwon is fucking insane.

Comparing Strategy to Terra Luna is fucking insane.

Bitcoin isn’t sitting at its current price because of Saylor.

Some of you are so desperate to blame one person for every move in the market that you’ve completely lost…

— David Gokhshtein (@davidgokhshtein) June 20, 2026

Gokhshtein also described the comparison of Saylor to Do Kwon as insane, as well as the comparison of Strategy to Terra Luna. As CoinGape reported, Crypto analyst Ali Martinez drew similarities between STRC and LUNA, suggesting that the former could crash like the latter.

Bitcoin advocate Samson Mow has also jumped to Saylor’s defense amid the recent criticisms. In an X post, he described STRC as a “brilliant instrument.” Mow also remarked that there’s nothing structurally wrong with STRC’s design unless one thinks Bitcoin won’t appreciate in the long term.

Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.

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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.