Michael Saylor has never stepped away from his grand vision, but his latest roadmap strategy, Bitcoin strategy, may be his most audacious.
With a wide range of conversations Bitcoin MagazineThe strategy co-founder sketches “endgame” where his company builds a trillion dollar Bitcoin balance sheet, then uses its capital base to reform the global credit system.
“I think Endgame grows 20 or 30% of the year since accumulating $1 trillion worth of Bitcoin,” Saylor told Bitcoin for George Mekhail’s managing director. “Endgame is about reaching total collateral, which increases by 30% a year.”
The heart of Saylor’s vision is scale. He believes that strategy, and other Bitcoin financing companies are likely to follow – could ultimately accumulate $1 trillion worth of BTC.
Once there, the long-term valuation mechanism for Bitcoin, which historically averages around 21% per year, will recharge its capital stocks.
Bitcoin support credits with favorable yields
Layered on top of that, Saylor sees a new opportunity to issue Bitcoin-backed credits at a much better yield than the Fiat system.
As a result, he argues that the dual flywheel is a massive digitally collateral store that is increasing in value, while simultaneously fuelling the creation of a digital credit market.
Unlike today’s Fiat-based debt systems, where risk-free interest rates are often curtailed near zero, Bitcoin shared credits could offer healthier yields.
It can reinvigorate credit markets around the world with Saylor’s narrative. Instead of enduring years of “financial suppression” in Europe and Japan, Bitcoin-backed digital credits provide stronger returns and transparency as investors sit on trillions of dollars lower bonds.
Capital is a double-fold overrepresented person, he says, and the system could be safer than the most conservative AAA corporate debt.
Traditional financial measures will be indirect Bitcoin vehicles
Saylor extends your vision beyond credits. When Bitcoin is embedded in the balance sheets of businesses, insurance companies, banks, and even sovereign wealth funds, stock indexes like the S&P 500 gradually become indirect Bitcoin vehicles.
He argues that the change will inject health into the stock market.
Financial-wide impact: Savings accounts approach 8-10%, not near zero. A money market fund derived from Bitcoin instead of Fiat. An insurance product that has been reconsidered with a focus on Bitcoin collateral.
Tech giants like Apple and Google eventually integrated Bitcoin custody and services into their global platforms, pulling hundreds of millions of people into the digital economy almost overnight.
In this scenario, Bitcoin finance companies act as dynamos powered by new financial construction.
This scale could reach thousands of trillions with hundreds of trillions of Bitcoin’s capital backed digital credits.
According to him, conversions create a world “smartier, faster, stronger, ten times better” than the current system, and those participating in the Bitcoin economy enjoy a vast advantage over those who remain outside.
During the last week of September, the strategy added 196 Bitcoin to the Treasury last week at an average price of $113,048 per coin, with a $22.1 million price per coin.