STRC, SATA and the onset of digital credit
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Can anyone see the similarities between STRC/MSTR and UST/LUNA?
Both were supposed to remain stable at a certain value ($100/$1).
UST was backed by confidence in LUNA.
STRC is backed by confidence in MSTR.
It’s not possible to create a stable liability supported by a volatile asset, with yield used to manufacture demand, and market confidence doing most of the work.
Both were supposed to remain stable at a certain value ($100/$1).
UST was backed by confidence in LUNA.
STRC is backed by confidence in MSTR.
It’s not possible to create a stable liability supported by a volatile asset, with yield used to manufacture demand, and market confidence doing most of the work.
MicroStrategy is light-years behind Snowflake, Databricks, Google, Microsoft, and the rest.
Having worked with quite a few enterprise clients, I have yet to see anybody actually using their platform. But the ones I mentioned? They're running everywhere. If you put those vendors in a job search, you'll see 100x more jobs for those platforms.
A lot of this investment stuff just comes down to people hoping they can dump their shares on somebody else later. They buy with the idea that there's a bigger fool waiting at the end. If that's fine with you, okay.
A FOAF invested with this "exceptional trader" who doubled his money twice. Even after those wins, he never put more money in. He saw what was coming, pulled back, and sure enough the "gifted trader" eventually GTFO with a ton of people's money.
Make money off greedy people, not off greed.
Yeah, that’s true.
Sounds more like a real ponzi 😁
The big problem is that STRC=Ponzi, and the narrative goes that STRC/MSTR=btc
well... this is an ultimate stress tests
the lower the price the more attractive it is - because the dividend is cumulative and it should/will go back to $100... or it will not 😉 fun to watch either way
the company has tremendous reserves of BTC and has obligations towards the STRC holders with huge implications for MSTR - no need to be worried about the dividend from STRC... MSTR is another story, bitcoin on steroids
Of a “strategy” created by GPT 3, by Saylor’s own admission 🤣
This is what irresponsible use of AI leads to.
Which will be forced to sell, thus driving the price lower etc.
It is not sustainable, unless BTC value continues to rise without retracements, which is impossible. Eventually, it must fails, it doesnt matter if btc is at $10k, $100k or $10m.
it's just catchy marketing, they are no idiots
the dividend can be postponed as a last resort solution, they will hardly sell anything significant - let's see
they literally need to survive next 4-5 months
No, it’s what he said with his big mouth.
Saylor already proved otherwise. See the past performance of his company when it used to only sell software.
Much more brilliant minds have failed before with less idiotic strategies.
It’s not up to them to decide. The market will decide if they must die now or later. Or some judge. Or the SEC/CFTC.
Meanwhile STRC is at $80. Looks like the market decided it must die now.
I'm not going to argue on the above - I believe you're mistaken but we have zero chance to find out as whatever happens is just one outcome and realization inside a stochastic system and it won't prove anything
what you see is the market saying that 11.5% dividend is not enough but 13.8% would do
they have other options and selling btc is just one of them... even if they sold enough to cover the STRC dividend entirely it would do nothing to the price of btc - just like it does nothing to the price when they buy (significantly more than the dividend) btc every month
Classic ponzi collapsing. Nothing new here.
Them selling btc will definitely influence btc price in the short term, which is extremely positive for almost everyone.
It's good and healthy for the market and its participants to get rid of the bad actors. See FTX.
I prefer to buy btc when it's cheap, don't you?
it might, but definitely not because of the volume and market liquidity - it's just irrational sentiment and Strategy in the spotlight
again... look at how much btc they sucked out of the market... returning crumb to cover the STRC dividend (if it ever happens) will have no impact on the liquidity
there are no generally good/bad actors but that's a whole different story
I'd rather say that these events transfer the asset from paper to diamond hands and decreases the future volatility - if this is what you prefer (I personally do) then let's call this a "good thing"
FTX is a great example that demonstrates what role plays coincidence in our lives - it was so close and this scum got almost out of it and nowadays would be one of the most influential players on the market
well, clearly... and I was lucky/smart enough to get the most of the final FTX's nail to the coffin
yet my time is even more precious then btc and I wish to spend as much time of the rest of my life as possible living in the world where the fiat scam is replaced by bitcoin and it won't happen without transfer of wealth and power and we need bitcoin to get 10x higher in USD to wake up the world and kill the slave masters
Inevitably, Strategy sold 3,588 btc.
So, Saylor’s genius GPT 3.0 strategy consists in hoping that btc price will continue to raise without retracing too much. Otherwise he is forced to sell btc
Obviously, once he has sold all btc it’s game over. If he’s not indicted sooner.
So, Saylor’s genius GPT 3.0 strategy consists in hoping that btc price will continue to raise without retracing too much. Otherwise he is forced to sell btc
Obviously, once he has sold all btc it’s game over. If he’s not indicted sooner.
I don't understand what you don't like about this move.
They sold a negligible (for both, them and the whole market) amount of BTC to calm down the shareholders and relieve the pressure - it worked immediately as expected - STRC recovered from 75 to 90 and they have a comfortable buffer. They can do it as many times as they want. BTC would need to drop to 20k to put them in jeopardy.
This company seems to have a rock solid position. Compare is to the whole AI bubble that's gonna burst sooner or later.
Am I wrong? Enlighten me.
They sold a negligible (for both, them and the whole market) amount of BTC to calm down the shareholders and relieve the pressure - it worked immediately as expected - STRC recovered from 75 to 90 and they have a comfortable buffer. They can do it as many times as they want. BTC would need to drop to 20k to put them in jeopardy.
This company seems to have a rock solid position. Compare is to the whole AI bubble that's gonna burst sooner or later.
Am I wrong? Enlighten me.
They are liquidating the only valuable asset they hold. This shows that it’s the only method at their disposal to come up with cash when they can no longer collect new cash from the market. In other words, that their strategy is idiotic and their narrative a fraud.
The point is not if the amount is negligible.
No. They did it to be able to finance an unsustainable interest rate.
No. The market might or might not react.
No. They can fail in many ways, even without btc falling so low.
The longer it takes for this company to go burst, the worse it will be (in the short term) for btc and crypto in general.
🤣 this is a joke, right?
AI is an industry. Btc is a cryptocurrency. Better than fiat, but you can’t build a revenue strategy on top of it without it being a ponzi.
This simple AI-generated report (anyone can do it at almost zero cost) clarifies the whole story:
