He’s a true believer and he’s putting his money where his mouth is.
At least, it’s always seemed that way.
Recently though, a couple very interesting posts have caught our attention.
The first comes from Peter Schiff who asks (1) if it’s true that Michael Saylor is in fact “secretly dumping” his Bitcoin, and (2) whether this is unethical and/or illegal.
Here was his Tweet:
I've been reading some articles about @saylor pumping and secretly dumping his #Bitcoin. While this is certainly the smart thing to do, it's highly unethical, and given his position at #MicroStrategy may even be illegal. I wonder if there is any truth to these rumors. Thoughts?
(p.s. Mr. Whale, I’d like to speak with you, can you DM me on Twitter?)
Here is just a portion of what Crypto Whale posted in a very lengthy Medium article:
Michael Saylor Doesn’t Actually Like Bitcoin
For months I’ve said that Saylor is playing the Bitcoin community like a fiddle, and I have been proven right (yet again).
His past tweets show him adamantly bashing Bitcoin, and even claiming it would suffer the same fate as online gambling. Many will argue that he simply changed his mind, and has opened up to it.
I don’t think anyone goes from calling it worthless, and saying its days are numbered, to calling for it to hit $1 million, and to take over the world. He didn’t change his mind on the intrinsic value of Bitcoin, which he knows is very low, he simply saw how extreme the delusion and greed was, and knew he could easily take advantage of it, just like he did in the 2000s with tech stocks.
If you go to his page now, he has hundreds of tweets comparing it random things like digital energy, digital real estate, and digital hot dogs? or basically anything that sounds mysterious, and will catch on with the cult.
As I mentioned earlier, Saylor knows the importance of latching onto something trendy. He knew exactly what caused the insane growth his company saw during the dot-com bubble, and Bitcoin gave him an idea.
His goal has always been to use Bitcoin’s hype to attract investors into buying Bitcoin, and his company’s stock, which will then let himself and his insiders sell at extremely overvalued prices, and get rich.
MicroStrategy’s Bitcoin Exit Strategy
In June, MicroStrategy announced it intended to buy $400 million worth of Bitcoin. That was clearly made to push up the prices, and distract people from what truly mattered later on in their announcement.
Saylor said that they would be paying directors in Bitcoin, and also forming a new subsidiary called MacroStrategy LLC, which will hold their existing 92,079 bitcoin that they had acquired so far.
Saylor is smart. He wanted to prove his confidence in Bitcoin early on, even though it’s all mere theater, so he said he has “no plans to sell his Bitcoin for the next 100 years”. If Saylor did sell, he would have to file with SEC, and would then be met with lots of criticism. (Remember when Musk sold?)
So instead of going through the path of transparency, he sets up a mysterious and seemingly pointless LLC. But it’s actually not so pointless — With an LLC, It has one key benefit that Michael Saylor really wants. He will not be legally required to file his Bitcoin sales with SEC since it’s a private subsidiary.
This is a typical move that Institutions love to do. They urge the tiny retail guys to buy in up high, while they sell. They need exit liquidity to get their orders through. You should always be cautious of this.
Back in September 2021, I warned investors that Michael Saylor was secretly dumping his shares. This week, it was confirmed to be true.
As we can see in the chart below, Michael Saylor has transferred his BTC to a secondary address that has been using Coinbase and Okex to sell bitcoins.
Main custodial address: 1P5ZEDWTKTFGxQjZphgWPQUpe554WKDfHQ Secondary custodial address: 1FzWLkAahHooV3kzTgyx6qsswXJ6sCXkSR
Michael Saylor has secretly dumped $63M worth of bitcoin while announcing they were purchasing. So in essence, they announce every time they buy, but refuse to say when they sell… Since the funds were transferred to a private LLC, this is technically legal, although very unethical.
So far, Microstrategy has dumped over 8000+ Bitcoin. I expect them to dump more in the coming months. Be careful out there bulls.
I would like to reiterate, that is a portion of a much lengthier post by the Crypto Whale, not by ProCoinNews.
We don’t have any firsthand knowledge either way, but we take him at his word in his latest Tweet right here:
Not sure who needs to know this, but when $MSTR makes any material change to its corporate strategy (to acquire & #hodl bitcoin) or to its #bitcoin holdings, we disclose this to our shareholders via @SECGov filings, available to all.
And here’s more from Saylor in this recent interview:
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April 25, 2022 1:34 pm
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