Bitcoin Analyst: 'Only Michael Saylor' Can Do Strategy's Treasury Model

Economist and author Saifedean Ammous on Thursday said Strategy’s (NASDAQ:MSTR) Bitcoin treasury model may be impossible for any other company to replicate.

Why Strategy Has No Real Competitor

Ammous told Cointelegraph’s Proof of Thesis podcast that holding cash-flow-positive earnings in Bitcoin (CRYPTO: BTC) as a long-term treasury strategy is a sound business model with room to grow. 

He drew a sharp line between that and borrowing against a Bitcoin stack to fund further purchases, a model he argues only Strategy can pull off safely.

Strategy holds the largest Bitcoin position of any public company, which gets it the lowest borrowing rates in the space. 

Even Bitcoin’s steepest drawdowns, including the 77% crash in 2021 and last year’s decline, came nowhere close to triggering a liquidation. 

“There’s really only Michael Saylor that can do this,” Ammous said, adding he isn’t recommending the stock, just explaining why he sees no clear second-best option among Bitcoin treasury companies.

Why Bitcoin Ignores the Fed

Bitcoin only looks correlated to Fed policy in the short term, according to Ammous. Its price roughly doubled during the Fed’s last rate-hiking cycle and kept climbing once the Fed started cutting.