Strategy: Can Issue $30 Billion in Digital Credit to Buy Bitcoin

TechFlow news, Oct. 30, according to Cointelegraph, Bitcoin treasury company Strategy Executive Chairman Michael Saylor said on the third-quarter earnings call that the company does not need new common equity financing or further Bitcoin appreciation, and can create up to $30 billion in digital credit using its existing balance sheet. Saylor said it could create $10 billion, $20 billion, or even $30 billion in digital credit. CEO Phong Le said issuing digital credit will be the main way to acquire more Bitcoin. If the company raises $1 billion to $2 billion within one month through preferred shares such as STRC, some funds can be allocated to USD reserves, with the remainder used to buy Bitcoin. The company's third-quarter net income was $19.53 billion, mainly driven by a $20.91 billion gain in digital asset value; as of Oct. 25, it held 848,517 BTC, up 26% year to date. The $30 billion figure represents potential capacity, not an announced financing target.

Source: TechFlow