🚨 Ripple CEO says Michael Saylor’s bitcoin strategy has hurt the crypto market as Strategy’s STRC trades below par 🚨
Brad Garlinghouse criticized Strategy’s bitcoin funding model, calling it a flawed example of financial engineering after STRC fell well below its $100 par value. He said long-term value in digital assets comes from utility, not balance-sheet leverage.
🔑 Key highlights:
🔹️ Garlinghouse said Strategy’s approach to funding bitcoin purchases has hurt the overall crypto market.
🔹️ He called STRC trading 25% below par a “damning indictment” of the strategy.
🔹️ He said long-term value in digital assets will come from utility, not financial engineering.
🔹️ Strategy has been using preferred securities like STRC to raise capital for bitcoin purchases.
🔹️ STRC carries an 11.5% annual cumulative dividend obligation and fell as much as 26% below par.
🔹️ The article notes that bitcoin was again trading below $60,000 when Garlinghouse made the comments.
🎯 Bottom Line: Garlinghouse blasted Strategy’s leverage-driven bitcoin model and pointed to STRC’s decline as evidence that the approach is under pressure.
https://www.theblock.co/post/406432/ripple-ceo-says-michael-saylor-has-hurt-crypto-market-as-strategys-strc-trades-25-below-par