BitStrategy

The MSTR Castle by @altols We did it. Satoshi released BTC into the world and, whether they knew it or not, they created a nearly perfect money. It's pretty much perfect when compared to our current money, at least. The analogy I’ve come to use that resonates most with people is: Clean water: BTC Unpotable water: fiat currency This drives home the point because the one thing we all need to survive in society is MONEY. In fact, money has become a prerequisite to clean water in many places. Yet, as citizens, you have no input on the government printing more money (selling debt). This phrasing helps people ask critical questions about what money is and realize how flawed fiat currency has become due to unchecked inflation and centralized control. MSTR (now rebranded as Strategy) is the first company to issue digital credit backed by the hardest money we have access to: Bitcoin. People have been talking about the moat of Bitcoin for over a year, but I’m not sold on that analogy. Instead, I see Strategy as a castle-like engine built on BTC, designed to be extraordinarily difficult to crack. As hard money begins to pull fiat currency out of the financial system, the entities that control the most BTC will have the most to gain. Strategy is perfectly positioned among companies to capitalize on fiat debasement with minimal risk. Strategy has transformed from a business intelligence software company into the world’s largest corporate Bitcoin holder, owning approximately 640,250 BTC as of October 12, 2025, acquired at an average price of ~$74,000 per Bitcoin, costing ~$47.38 billion. This represents over 3% of Bitcoin’s circulating supply. The company funds these purchases through equity offerings, convertible debt, and preferred stock issuances like STRC, STRK, STRD, and STRF—forms of "digital credit." For instance, in the week ending October 12, Strategy raised $27.3 million via preferred stocks to acquire 220 BTC at ~$123,561 per coin. These instruments give investors exposure to Bitcoin’s price without direct ownership, reinforcing the "castle" metaphor: a fortified structure built on BTC’s scarcity and resistance to inflation. While Strategy’s debt and equity are tied to its Bitcoin holdings, they aren’t always directly collateralized by BTC, introducing risks like stock volatility and dilution. Its Bitcoin-per-share (BPS) metric and Bitcoin Yield KPI (25.9% YTD as of October 12) highlight this focus, with holdings valued at $69.5 billion at a BTC price of $108,549 on October 16, 2025. This dwarfs its software revenue ($463 million annually), bolstered by fair value accounting, which reported $3.9 billion in Q3 2025 appreciation. There will certainly be companies that outperform BTC alongside Strategy, but it’s harder to analyze the risk profile of firms producing goods or providing complex services, dealing with intricate contracts or hazardous conditions. People spend lifetimes studying corporate valuation, navigating risks tied to operations and macroeconomics (like money printing). These risks don’t apply to Strategy in the same way. Its simpler model focused on Bitcoin accumulation avoids operational complexities. Though it does introduce financial risks: high volatility (beta 4) and leverage from ~$8.2 billion in convertible notes. A 30% BTC drop in March 2025 caused a $5.9 billion unrealized loss. Even today (10/16/25), among market uncertainty MSTR’s share price closed at $283.54, down 4.45% on the day. Still, competitors like MARA (53,000 BTC) or Riot (~20,000 BTC) hold less Bitcoin, giving Strategy a first-mover edge. Even the US government doesnt hold as much BTC as Strategy. They really do seem like they are in a league of their own. I believe we are near the endgame. Over the next 10-20 years, our generations will witness a transition from trustless fiat currencies to the verification and security of BTC and layered solutions as a dominant store of capital. Strategy ₿ appears to be best positioned to capitalize on this emergence of digital capital. "The endgame is we accumulate a trillion dollars worth of Bitcoin and then we grow that capital by issuing more credit" -@Saylor