Michael Saylor, Executive Chairman of MicroStrategy, urged Microsoft to invest in Bitcoin instead of bonds, claiming it would increase shareholder value. He noted that Bitcoin has dramatically outperformed Microsoft’s stock historically and that bonds are harmful to long-term capital. Despite Saylor’s appeal and a proposed allocation of funds to Bitcoin being rejected by shareholders, he remains confident in Bitcoin’s future as a significant asset.
Michael Saylor, Executive Chairman of MicroStrategy, has called on Microsoft to pivot from investing in bonds to Bitcoin. Speaking at the Strategy World 2025 conference, he argued that adopting Bitcoin could enhance shareholder value and shield the company from corporate risk. Saylor asserted, “Microsoft should be powered by digital capital,” explaining that Bitcoin stands as the top-performing independent asset.
Saylor highlighted that Bitcoin has significantly outstripped Microsoft’s stock performance over the past five years. TradingView data reveals that Bitcoin has averaged an annual return of 53%, while Microsoft’s stock has managed just around 6%. Over this period, Bitcoin’s worth surged by over 950%, compared to Microsoft’s approximate 148% increase. This trend, he argues, makes a compelling case for Microsoft to diversify their investments.
Criticising Microsoft’s existing financial tactics, Saylor lamented the company’s reliance on stock buybacks, dividends, and low-yield bonds, rather than investing in assets like Bitcoin. He contended that this approach weakens Microsoft’s equity structure, making it less appealing to investors. Consequently, he warned that shareholders face mounting long-term risks while the company’s adaptability wains.
“Buying Bitcoin would be 10x better than buying your own stock,” Saylor emphasised, going further to label bonds as “toxic” and retaking stock as detrimental. He conveyed that over the last five years, Microsoft has returned over $200 billion to its shareholders, capital that could instead fuel significant enterprise growth if channelled into Bitcoin. According to Saylor, redirecting these funds could potentially add up to $5 trillion in value.
Looking ahead, Saylor suggested we are entering a new phase for investing. He declared 2024 as a pivotal moment for Bitcoin, especially after the SEC approved Bitcoin ETFs. He drew comparisons, noting that gold was key in the 19th century, while treasuries epitomised the 20th century. Now, he asserts, we’re in the era of Bitcoin. He refers to it as a “liquid, fungible capital asset” that serves as a contemporary substitute for traditional bonds.
According to Saylor, Bitcoin offers unique opportunities for investors, providing a bargain that’s growing at a stunning 30% to 60% per year. Previously, Saylor even made a direct appeal to Microsoft’s board regarding Bitcoin investment. He presented a detailed three-minute pitch featuring 44 slides advocating for a strategic shift in capital allocation toward Bitcoin.
Despite his initiative and a related proposal from the National Center for Public Policy Research recommending that 1% of Microsoft’s cash reserves be dedicated to Bitcoin as a hedge against inflation, shareholders ultimately rejected it. This outcome was somewhat anticipated, as Microsoft’s board had already advised against it after reviewing the company’s investment strategy thoroughly.
