Strategy's CEO, Phong Le, reassures investors in the face of bitcoin declines. During the earnings conference, he stated that only maintaining the price of BTC at $8,000 for 5-6 years would pose a real threat to the company's debt servicing.
In an extreme scenario of a 90% discount to $8,000, BTC reserves would equal net debt. At that point, the company would consider restructuring, issuing shares, or new debt.
Strategy reported a net loss of $12.6 billion for the quarter, primarily due to unrealized losses on BTC. CFO Andrew Kang emphasized, however, that this is an accounting effect resulting from market valuation.
Michael Saylor stated that the company's strategy is designed to withstand extreme price fluctuations. Referring to quantum computers, he assessed that a real threat may emerge no earlier than in 10+ years, and the Bitcoin protocol will be able to adapt to this.
