Features Crypto News by Thebittimes.Com

The higher MicroStrategy (MSTR) climbs, the more eyes it attracts. As the company’s market capitalization has swelled, veterans of finance are questioning its growth prospects — including some of its fans’ unique or redefined financial terms. For example, a chartered financial analyst created a video questioning whether MicroStrategy’s supposed “bitcoin (BTC) yield” metric might have pyramid scheme mechanics. Many other critics have called the Michael Saylor-led BTC acquisition company a type of pyramid scheme. Unlike a pyramid scheme, however, MicroStrategy doesn’t guarantee returns, distribute dividends, promise earnings from equity investment, or make any payouts to later investors from the proceeds of earlier investors. Still, some critics are simply convinced that something must be wrong. Indeed, Ben Hunt laughed at a MicroStrategy investor redefining a conservative, 5% interest on cash equivalents as meaningful “earnings.” Casting the clai...

Author | mingdao Original link: https://x.com/mindaoyang/status/1859637646072611254?t=bD5W0n5R-xD4GmFNJ3TOjQ&s=19 Let’s talk about MicroStrategy’s grand strategy today. MicroStrategy has truly hatched the biggest golden egg in this crypto cycle, with paper profits exceeding $15 billion in less than two years. It’s not just a triple arbitrage between stocks, bonds, and Bitcoin. The key lies in transforming MSTR stock into what is essentially traditional finance’s version of Bitcoin (recently, MSTR’s trading volume surpassed that of all Bitcoin ETFs combined). This is a masterpiece of “turning illusion into reality.” Michael Saylor is neither a Wall Street blue blood nor an OG in the crypto world — he’s more like the underdog who knocked out seasoned pros with sheer ingenuity. Here, I’ll briefly discuss the critical elements of his trade structure design: The Stock/Bitcoin Relationship There are two key flywheels at work here: 1. Stock Issuance to Buy Bitcoin: Issuing stock at a prem...

ETH rallied alongside Bitcoin as new spot ETF news emerged, and the altcoin could benefit from the failure of its layer-1 competitors. Ether (ETH) price has declined by 14.7% since its peak at $2,120 on April 16, 2023. However, two derivatives metrics indicate that investors have not felt this bullish in over a year. This discrepancy warrants an investigation into whether the recent optimism is a broader response to Bitcoin (BTC) breaking above $34,000 on Oct. 24. One possible reason for the surge in enthusiasm among investors using ETH derivatives is the overall market's excitement regarding the potential approval of a spot Bitcoin exchange-traded fund (ETF) in the United States. According to analysts from Bloomberg, the ongoing amendments to the spot Bitcoin ETF proposals can be seen as a “good sign” of progress and impending approvals. This development is expected to drive the entire cryptocurrency market to higher price levels. Interestingly, comments issued by the U.S. SEC C...