Odaily reported that cypherpunk pioneer Adam Back said the market’s negative view of Strategy and its preferred stock STRC lacks basis. In his view, what Strategy is doing is essentially selling Bitcoin to pay dividends, rather than abandoning or changing its Bitcoin reserve strategy. He also described the FUD around MSTR and STRC as exaggerated, stating that Strategy will not “go to zero.”
The Bitcoin reserve strategy remains in place
Back further argued that Strategy is showing that a company can use Bitcoin to deliver returns to investors while lowering its debt ratio. In his explanation, this does not negate the logic of holding Bitcoin. Instead, it places Bitcoin within corporate treasury management and capital operations.
He added that Strategy is presenting a new financial model to the market, in which Bitcoin may in the future become an alternative asset to cash. According to Back, Strategy’s long-term value lies in continuing to hold Bitcoin and helping the market understand Bitcoin’s monetary properties, rather than being defined by the negative narrative surrounding MSTR and STRC.