Concerns over Strategy selling bitcoin are 'unfounded,' Michael Saylor says

Core Viewpoint - Concerns regarding the company's potential need to sell bitcoin due to falling prices are deemed unfounded, with a strong commitment to ongoing purchases emphasized by the chairman [1]. Financial Position - The company maintains a net leverage ratio that is half of the typical investment-grade company, with sufficient cash reserves to cover two and a half years of dividends [2]. - Recently, the company acquired 1,142 BTC for approximately $90 million, raising its total holdings to 714,644 BTC, purchased for about $54.35 billion, resulting in an average cost per bitcoin of $76,056, which is above the current market price of around $69,000 [2]. Market Volatility - Bitcoin has experienced significant downward volatility, which is acknowledged as a characteristic of the asset, with the chairman noting that bitcoin is designed to be more volatile than traditional assets [3]. - The company reported an operating loss of $17.4 billion and a net loss of $12.6 billion for the fourth quarter, primarily due to non-cash mark-to-market accounting related to bitcoin's price decline [3]. Strategic Insights - The chairman views the current price levels of bitcoin as indicative of market maturity, which is seen as a positive development [4]. - The company's balance sheet and digital credit business are central to its strategy, with the digital credit structure generating significantly higher cash flow compared to traditional fixed-income products [4]. Risk Management - The chairman stated that there is no credit risk associated with the company's balance sheet [5].