Saylor's 847,666-BTC empire leaves rival treasuries playing second fiddle, Ammous warns

Economist and "The Bitcoin Standard" author Saifedean Ammous said corporate Bitcoin treasury companies built primarily around accumulating the cryptocurrency will struggle to compete with Michael Saylor's Strategy, arguing the firm's scale gives it a structural edge. "I don't see a compelling case for going to another Bitcoin treasury company other than Michael Saylor's Strategy," Ammous said on the latest episode of Cointelegraph's Proof of Thesis. Strategy holds the world's largest corporate Bitcoin treasury, with 847,666 BTC acquired for $63.95 billion, according to its Monday 8-K filing. The company also reported a $5.02 billion US dollar reserve to cover preferred stock dividends and debt interest.

Ammous said Strategy's larger Bitcoin holdings allow it to borrow at lower rates than smaller rivals, and noted that previous drawdowns had not brought the company close to liquidation. He pointed to the summer period when Bitcoin fell below $60,000 and the company's STRC preferred stock traded far below its $100 target price. In response, Strategy raised STRC's annual dividend rate to 12%, repurchased shares and built its cash reserve, while also selling some Bitcoin to help fund dividends and STRC repurchases before resuming accumulation. "Even a much bigger Bitcoin drawdown is going to leave them in a decent situation because they have enough cash on hand to make their payments," Ammous said.

Ammous said businesses with positive cash flow can put surplus cash into Bitcoin as a long-term reserve asset, adding that he expects more companies to adopt this model. "I think pretty much every business should be doing this." He distinguished those reserves from cash needed for daily, weekly and monthly operations, but cautioned that investing in Strategy carries risks and said he favors holding Bitcoin directly.

On price outlook, Ammous said Bitcoin has probably already bottomed, though another crash remains possible. He said Bitcoin's next cycle may peak in 2029, with prices predominantly rising until then, and smaller drawdowns could make Bitcoin more attractive to large asset managers as memories of previous bear markets fade. Asked for a Bitcoin price estimate for 2030, Ammous put his best guess at roughly $200,000, based on the Bitcoin power-law model and chosen near the lower end of his cited range. "I wouldn't bet on it," he added.