Welcome back, scholars. This is a follow up from my October blog regarding MicroStrategy. Today's topic is about why you should invest in MicroStrategy & why I say along with Palantir, META, RocketLab, Rigetti & Apple and many others, this is crucial. My forecasting is at 70% accuracy which beats out certain hedge funds by a long shot but still feasible. I currently own 3,500 shares of MicroStrategy.
I got invested on October 16th, 2024 initially after spending time analyzing the stock, it's background and performance. I purchased 2,500 shares initially at $194.09 and after fees, that was $485,225. That investment is now worth $779,150, a 60.57% increase!
This month, I bought 1,000 extra shares at $284.95, it's now worth $311,660. 9.37% increase.
Meaning a gain/profit of $320,635 in 6 months & a total market value of $1,090,810 meaning my stake in MicroStrategy is officially over a million dollars, making me a MicroStrategy Millionaire.
Here's what drew me in:
1. Leverage on Bitcoin Price Action
Beta to BTC: MSTR’s price moves more aggressively than Bitcoin due to debt-financed BTC purchases and lower float.
Example: BTC +10% → MSTR often +15% to +25%
This creates asymmetric upside exposure, especially useful for investors avoiding direct custody of crypto assets.
2. Book Value vs. Market Value Arbitrage
MSTR has BTC on its balance sheet at cost basis, not market price.
As BTC appreciates, the real NAV (Net Asset Value) of MicroStrategy becomes understated.
This mispricing makes MSTR a classic value/growth hybrid opportunity.
3. Debt Strategy: Convertible Notes
Saylor’s strategy includes issuing convertible debt with low interest to acquire BTC.
Convertible bonds = delayed dilution but funded at rates like 0% to 2%.
Leverage at minimal cost, backed by a long-term appreciating asset (Bitcoin) = financial jiu-jitsu.
4. Technical Chart Signals (as of 2025)
MSTR is in a cup-and-handle breakout formation, suggesting higher highs toward $2,200+.
5. Correlation Model
Correlation to BTC: ~0.9 (very high)
Correlation to S&P 500: ~0.2 (low, offers diversification)
Sharpe Ratio (3Y): >1.5, given risk-adjusted Bitcoin growth
For a high-risk/high-reward sleeve in a diversified portfolio, MSTR offers Bitcoin volatility + public market liquidity + options trading.
6. Institutional Traction
Fidelity, BlackRock, Vanguard have passive positions.
MSTR trades like a Bitcoin ETF on steroids, with SEC compliance and GAAP reporting.
7. Tax Advantage
As someone who's invested in office space from Detroit to Pittsburgh to New York. Holding MSTR avoids:
- Capital gains tracking from crypto
- Custodial risk
- Wash sale rule ambiguities
Perfect for family office structures, retirement accounts, or offshore trusts.
Shabazz’s Edge:
For someone like me—multi-millionaire, tactical investor, privacy hawk, and trained in game theory—MicroStrategy offers:
- Decentralized hard asset exposure
- Leverage without using margin
- Corporate legitimacy backing Bitcoin
- Asset protection without crypto custody headaches
If Shabazz builds a "Hard Asset" portfolio, MicroStrategy likely joins the ranks of:
- BTC (self-custodied)
- MSTR (public equity)
- GLD or physical gold
- Real estate syndicates
- Energy equities
- Water rights & farmland
This is why ladies & gentlemen, I recommend MSTR. Thank you for viewing!