Strategy Stock Up 2,600% from BTC Bet

[umair]

Five years ago, Michael Saylor made a bold move that would redefine his company’s future. In August 2020, his firm—now known as Strategy—purchased 21,454 BTC as part of a significant shift in corporate treasury management. At the time, Bitcoin was trading far below its current prices, and many viewed the move as a high-risk gamble.

Fast forward to now, that gamble has paid off massively. Strategy’s stock price has soared nearly 2,600% since the initial purchase, turning the company into one of the most prominent Bitcoin treasury holders in the world. Today, the firm holds over 628,000 BTC, a stash that dwarfs the reserves of most other corporations and even some countries.

Saylor didn’t stop at the first buy. Over the years, the company raised billions through preferred and convertible stock offerings, funnelling the proceeds directly into more Bitcoin acquisitions. This aggressive accumulation strategy transformed Strategy’s shares into a type of leveraged Bitcoin investment—when BTC rises, the stock often surges even higher.

But this approach carries serious risks. The company’s traditional software business remains relatively small compared to its cryptocurrency holdings, meaning its fortunes are primarily tied to Bitcoin’s price. If the crypto market takes a significant downturn, both the balance sheet and shareholder value could face severe pressure.

Despite these risks, the market has so far rewarded Saylor’s conviction. His playbook has even inspired other companies to consider adding Bitcoin to their balance sheets, with the hope of replicating the explosive returns. Whether this is visionary leadership or a dangerously concentrated bet will likely depend on Bitcoin’s long-term trajectory.

What do you think—brilliant foresight or risky overexposure?