FAIRFAX, Va. — The Michael Saylor-owned data intelligence firm MicroStrategy which currently holds the largest number of Bitcoin could have been more profitable if they had invested in Ethereum, data from a statistics platform shows.
According to archived statistics on blockchaincenter.net, Microstrategy’s portfolio could have been more profitable if it had invested in ETH instead of BTC.
It should be noted that MicroStrategy’s portfolio has grown to 140,000 BTC after its latest acquisition of 1,045 BTC in April but has since declined in value by 14% to $3.631 billion, down from the initial purchase price of $4.206 billion.
“Eventually, I have confidence that the crypto exchanges will come around to realising that bitcoin really is the dominant asset in this space, and their business models are fine when bitcoin goes up by a factor of 10,” said Saylor.
The creator of the data set, Holger from blockchaincenter.net, a self-proclaimed “data nerd,” said he collected these metrics and painted an entirely different picture of what might have been for Microstrategy.
If Microstrategy had invested the money in ETH at different points, it would now be holding 3,681,627 ETH and its portfolio would be valued at $6.461 billion, yielding a 54% increase against BTC. Compared with a 14% loss from its BTC investment, investing in ETH would have brought a profit of $2.255 billion to the company.
“MicroStrategy’s views since 2020 have been that the only institutional grade asset is bitcoin,” said Saylor in an interview with Bloomberg on Tuesday. “It’s pretty clear that the regulators don’t see a legitimate path forward for cryptocurrencies … And so the entire industry is kind of destined to be rationalized down to a bitcoin-focused industry with maybe half a dozen to a dozen other proof of work tokens.”
By staking its Ether stash, the firm could have also potentially earned an additional 326,225 ether, bringing in a staking profit of about $572.5 million annually at an annual percentage rate of 4%.
Holger’s data also reveals that if Microstrategy were to trade its BTC for ETH today, the company would receive 2,069,232 ETH as per today’s exchange rates. This ETH portfolio would generate an estimated $182 million annually from staking.
Despite the compelling data, Saylor holds BTC in the highest esteem as can be seen from his tweets which means switching to ETH is highly unlikely.
“Regulatory clarity is going to drive Bitcoin adoption by eliminating the confusion & anxiety that has been holding back institutional investors. Bitcoin dominance will continue to grow as the crypto industry rationalizes around Bitcoin and goes mainstream,” said Saylor in a tweet.
Produced in association with Benzinga
Edited by Daisy Atino and Alberto Arellano
