Strategy (NASDAQ:MSTR) executive chairman Michael Saylor on Tuesday said the company won’t sell Bitcoin (CRYPTO: BTC) even if it crashes to $8,000, pledging to refinance debt instead.
The $8,000 Refinancing Pledge
Saylor told CNBC the company has 2.5 years of cash to cover dividends and debt without raising money.
When pressed on what happens if Bitcoin falls 90% and stays there for four years, Saylor said “we’ll refinance the debt.”
On credit risk concerns, Saylor dismissed worries about forced selling.
“If Bitcoin falls to $8,000, we’ll just refinance the debt. If you think it’s going to zero, we’ll deal with that. But I don’t think it’s going to $8,000,” he said.
Saylor argued Strategy’s net leverage ratio is half the typical investment-grade company. “We’ve got 50 years worth of dividends in Bitcoin. …