In response to the economic downturn caused by COVID-19 lockdowns and government stimulus, Michael Saylor, CEO of Strategy, shifted the company’s massive reserves from traditional assets like stocks and real estate into Bitcoin. This decision was driven by concerns about economic instability and a desire for a safe haven for value during uncertain times. 2020 witnessed record market activity fueled by excess liquidity injected into the financial system. However, Saylor believed this wasn’t sustainable growth, leading him to seek alternative investments. His research and exploration led him to Bitcoin as a safe and independent store of value. In August 2020, Strategy purchased 21,454 Bitcoins for $250 million, marking a significant shift in the company’s treasury strategy. This move propelled Strategy to become the largest corporate Bitcoin owner according to public data tracking the firm’s crypto activity. Saylor believes that his decision was purely about protecting value and creating an escape from the failing traditional financial system. However, not everyone agrees with this approach. Short seller Jimmy Chanos has criticized Strategy’s business structure, arguing that the stock price is inflated compared to the Bitcoin holdings. Chanos claims that the company’s valuation is based on hype rather than concrete data and believes it should be judged solely by its Bitcoin holdings. Saylor countered these claims, emphasizing that Strategy actively uses its Bitcoin through innovative instruments like preferred shares, which allow for capital leverage unlike closed-end trusts. He asserts that this active approach sets Strategy apart from the passive nature of traditional trust structures, further reinforcing his belief in the company’s unique position within the crypto market.