MicroStrategy's Executive Chairman Michael Saylor, speaking at Binance Blockchain Week in Dubai, outlined the company's robust financial position centered on its massive Bitcoin holdings.
- The company holds $60 billion in Bitcoin against only $8 billion in liabilities, indicating extremely low leverage.
- Saylor stated that an annual Bitcoin appreciation of just 1.36% is sufficient for the company to pay dividends and create value indefinitely.
- This week, MicroStrategy added $1.44 billion in cash reserves, which is enough to cover 21 months of dividend payments, providing a significant buffer even if capital markets were to close.
At Binance Blockchain Week in Dubai, Saylor presented MicroStrategy's latest capital structure:
The company holds $60 billion in Bitcoin and has approximately $8 billion in liabilities, resulting in extremely low leverage.
As long as Bitcoin appreciates by an annualized rate of 1.36% , the company can continue to pay dividends and create value indefinitely.
He revealed that the company added $1.44 billion in cash reserves this week, enough to cover 21 months of dividends , adding, "Even if the capital markets are closed, we can hold our breath for 21 months."