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Michael Saylor, co-founder and chairman of MicroStrategy, has expressed skepticism about Bitcoin’s recent adoption [BTC] ETFs.
He warned in an interview with ETFs that ETFs could potentially undermine the decentralized nature of the crypto space Bloomberg Television on February 20.
The co-founder also admitted that while spot ETFs have paved the way for institutional capital to enter the Bitcoin ecosystem, demand has exceeded current supply.
Saylor said:
“The spot ETFs are driving the digitalization of capital, with hundreds of millions of dollars moving from the traditional analog ecosystem to the digital economy every day.”
Should the SEC be blamed?
Despite the approval of Bitcoin ETFs by the U.S. Securities and Exchange Commission, Chairman Gary Gensler emphasized to CNBC that these approvals do not constitute an endorsement of the digital asset, noting:
“This was in no way an endorsement of Bitcoin existing – it’s just how you can trade it in these Exchange Traded products.”
Despite increased losses, MicroStrategy continued to pursue BTC acquisitions over the past year. In January, Saylor sold $216 million worth of personal MicroStrategy stock options to buy even more Bitcoin.
The entrepreneur noted:
“Bitcoin is the exit strategy, it is the strongest asset that would emerge as a trillion-dollar asset class. And it stands next to names like Apple, Google and Microsoft.”
Will Bitcoin Overtake Gold?
According to Saylor, Bitcoin is now competing with gold.
But at the same time, it also competes with the S&P index and the real estate market, which is worth more than $100 trillion. He mused,
“There is simply no reason to sell the winner to buy the losers.”
Overall, Bitcoin is technically superior to these asset classes. Furthermore, with time and tides, capital will continue to move out of these traditional assets and into Bitcoin.