Episode Details
Title | On the Margin: Convertible Bond Expert Breaks Down Why MicroStrategy Is Soaring | Richard Byworth |
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Date | 12/10/2024 |
Podcast | On The Margin ↗ |
Key Insights
Bullish:
- 🟢 $MSTR - MicroStrategy is misunderstood by the market, employing a unique strategy that creates value through Bitcoin acquisition and innovative bond pricing. This strategy is accreting continuous value to the balance sheet, potentially leading to significant long-term growth.
- “I think micro strategy is is woefully misunderstood by the majority of of people, so happy to try and articulate, as much as possible, what is a fairly complicated subject.” - Richard (2:25)
- “What Saylor's realized is because his stock is so volatile, it allows him to price bonds on a zero coupon but with a massive premium.” - Richard (10:25)
- “The dilution is accretive, and this is what everybody in financial markets is really struggling to get their head around.” - Richard (14:32)
- “This is something that no one has ever seen before. So you have to think about it in slightly different ways and try to understand what is really happening here. And it is accreting continuous value to the balance sheet, to the asset base. Therefore, in a way, it's a type of earnings for the company.” - Richard (0:00)
- 🟢 $METAPLANET - 🔒
- 🟢 $BTCADOPT - 🔒