Schiff Predicts ‘Beginning of the End’ for MSTR as Strategy Eases Bitcoin Sell-Off Fears With $1.44B Reserve

Core Viewpoint - Peter Schiff predicts that MSTR is facing a significant downturn following Strategy's establishment of a USD reserve for dividend payments, which he believes indicates the company's impending collapse [1][2]. Group 1: Company Actions - Strategy sold 8.2 million MSTR shares to create a USD reserve, which was used to fund interest and dividend obligations, and also purchased 130 BTC, increasing total holdings to 650,000 BTC [2]. - The establishment of the USD reserve has alleviated concerns that the company would need to liquidate its Bitcoin holdings to meet dividend payments [2]. Group 2: Market Reaction - MSTR stock fell over 7% in a single day, trading at approximately $164, marking its lowest level since October 2024 [4]. - The stock has declined 55% since October 6th and is down over 45% year-to-date after reaching a high of around $455 in July 2025 [4][6]. Group 3: Criticism and Commentary - Schiff has criticized the reserve move as an indication that BTC prices will decline, suggesting that once dollar reserves are depleted, the company will have to sell BTC at lower prices [3]. - Schiff labeled MSTR's business model as a "fraud" and described CEO Michael Saylor as the "biggest con man on Wall Street" [2][5].