Strategy is stripping the volatility out of Bitcoin and selling it as digital credit, and it is building one of the most powerful Bitcoin accumulation machines in the market. In this video I break down what Strategy is actually trying to do, why it was a good thing that they sold Bitcoin, and why my math puts MSTR common stock at $2,397 with Bitcoin at $630K over the next five years. That is a 2.5X outperformance of Bitcoin, and the math does not need any mNAV expansion to get there.

I walk through the $3 billion US dollar reserve, the $1 billion buyback program, the credit agency logic behind selling Bitcoin, and the record pace of accumulation Strategy is running in the middle of a historic bear market. Then I do the actual math, including the conservative case where mNAV contracts to 1.0 and the stock still beats Bitcoin, and the realistic case that gets you to $2,397.

Timestamps:
0: 00 Strategy at $2,397: The Full Case
1: 12 Stripping the Volatility Out of Bitcoin
6: 35 Why Selling Bitcoin Was the Right Move
8: 23 Buybacks and the $3 Billion Reserve
11: 03 Record Accumulation in a Historic Bear
13: 32 The Math to $2,397 and 2.5X

Full disclosure: I own most of my net worth in Bitcoin and hold some Strategy. I do not own Stretch or any preferred stock. This video is for educational and entertainment purposes only and is not financial advice. It is your money and your decision.