Prominent gold advocate Peter Schiff has criticized Michael Saylor’s Strategy once again in a scathing tweet. Schiff, known for his repeated attacks on the company’s Bitcoin-buying policy, has stated that the company’s valuation is hovering around $29.54 billion despite holding more than $50 billion in crypto, underscoring how little confidence investors have in its future.
The move comes after Saylor’s company continues to face extensive criticism from business leaders, including some from the crypto world itself. Recently, Ki Young Ju, the founder of the major crypto analytics firm CryptoQuant, stated that Strategy needs to pause its major BTC purchases to avoid taking on additional risk. He was referring to the 11.5% yield rate promised on the funds raised by the company to fund the latest buying sprees, as Bitcoin prices continue to struggle around the $60k level.
Schiff tweeted:
Strategy Inc. (formerly MicroStrategy, ticker MSTR) owns 847,363 BTC (worth $50 billion), accounting for around 4% of the cryptocurrency’s entire circulating supply. At first, the CEO used company funds to buy the digital currency, but since its pivot from a business intelligence company to the world’s largest corporate Bitcoin holder, it has pursued more aggressive acquisitions.
Will Strategy be Forced to Sell its Bitcoin?
While Strategy’s aggressive buys were once applauded in the crypto community, his decision to offer a lucrative annual yield to new investors and to keep buying large tranches of BTC has attracted criticism, with Schiff at the forefront.
 
He has repeatedly predicted that this unsustainable behavior cannot continue and that the company will be forced to liquidate a large portion of its supply at unfavorable prices in the future, causing a major BTC price collapse. The same sentiment was echoed by Ki and other crypto executives, many of whom urged Saylor to pause this risky strategy.
But Saylor has remained steadfast, stating that the company has no intention of selling its BTC stash. Now, theoretically, Saylor could sell his BTC and put tens of billions of dollars in his pocket, which prompted a user to reply to Schiff that perhaps MSTR was undervalued.
Schiff replied:
The Future
Schiff, despite being a Bitcoin critic, is correct to point out that if the company’s BTC stash were sold off, it could create significant selling pressure on the cryptocurrency and cause its price to tank. The MSTR stock itself has lost approximately 78% of its value over the past year. It has fallen from a 52-week high of $457.22 to around $87, with a market cap just below $30 billion.
Despite Schiff’s criticism, his point is important to note here, as investors just aren’t feeling confident about the future of MSTR as a BTC treasury, and if Saylor continues this behavior, it could very well contribute to even more losses in his company’s stock.
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