During a recent appearance on the "Markets with Madison" podcast, which is hosted by NZ Herald journalist Madison Reidy, MicroStrategy CEO Michael Saylor stated that Apple should consider buying $100 billion worth of Bitcoin (BTC) instead of a stock buyback.
"Buy a $100 billion of Bitcoin. It will go to $500 billion. You'll have a $500 billion business growing 20% a year. You will make $100 billion in investment gains a year. Your investors will look at it, and they'll add a trillion or two trillion dollars to your market cap, and now the company will be valued 60% based upon the operating business, 40% based on the balance sheet," he said.
He has stressed that MicroStrategy is taking advantage of digital transformation by buying Bitcoin.
MicroStrategy is, of course, the biggest holder of the leading cryptocurrency by a huge margin. According to the data provided by BitcoinTreasuries, its total holdings currently stand at $17.1 billion worth of Bitcoin.
Alex DovbnyaThe company's stock has been on a tear this year, adding more than 182% on a year-to-date basis.
Saylor has also noted that smaller S&P 500 companies could approach Big Tech if they decide to gain exposure to Bitcoin.
"You could take the bottom 98% of the S&P 500. If they bought Bitcoin, their performance could approach the Big Tech. The performance of the S&P index will move toward Bitcoin," he said.
As for Apple, Tim Cook, the CEO of the world's most valuable company, revealed that he was a cryptocurrency owner back in 2021. However, back then, he also confirmed that Apple had no immediate crypto plans. It seems like the tech giant is still not interested in exploring crypto, so the idea of Apple adding Bitcoin to its balance sheet seems to be extremely far-fetched.
Yuri Molchan
Vladislav Sopov
Dan Burgin