Michael Saylor’s Strategy makes up metrics to explain MSTR dilution
Strategy (formerly MicroStrategy) reported earnings this week with founder Michael Saylor focusing on financial abstraction across an hour-long webinar. While he provided basic metrics about the company’s fourth-quarter performance, he focused mostly on renaming shareholder dilution with phrases like “BTC Gain.” In a daisy chain of financial complexity, Strategy has managed to dilute shareholders by focusing on abstract financial models that focus on the quantity of bitcoin (BTC) per share rather than the reason for that quantity. The more time investors spend doing calculations and forecasts, the less time they have left to ponder the source of the data itself. Although it operates a declining enterprise software business that (worth less than $3 billion before the company’s August 2020 pivot to BTC) Strategy’s $85 billion market cap today almost entirely derives from its $46 billion worth of the world’s leading crypto. That 84% premium of the c...