Wild Long Shot Theory - 15% chance (Patreon)

Saylor has reinvented fixed income. Michael Saylor has the potential to eat the bond market. It might sound exaggerated, but we’re still super early.

Soon, big players like pension funds and insurance companies will realize they can buy a publicly traded asset that gives steady returns, is backed by Bitcoin, and never needs to be paid back.

In addition have this long shot theory that toward the end of the bull market some may plough profits into MicroStrategy’s STRC preferred stock, which offers a ~10% stable yield backed by Bitcoin. This could create a self-reinforcing cycle benefiting both MicroStrategy (MSTR) and Bitcoin (BTC). It needs critical mass first, slowly then.... boom!

Profit-taking: End-of-year rebalancing is common for tax reasons; with BTC up strongly in 2025, some selling pressure is likely.

STRC appeal: STRC offers a 10.25% yield, minimal volatility, and is backed by 640K+ BTC, making it a safer, high-yield option versus Treasuries. Its dividends are tax-efficient and attract “risk-off” investors. PS been digging into it and may do so myself for my cash balances.

Viral effect: If early adopters move capital into STRC, it could trigger a viral rush, similar to meme stock or stablecoin frenzies. Rising demand allows MSTR to issue more STRC, raising capital to buy more BTC, amplifying the feedback loop.

The Danger

BTC downturns, rising yields elsewhere, or reduced confidence in STRC could limit the effect.