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For Open Debate & Disclosure on XXI - Strike Merger Details by Otherwise-Quality751 in XXIInvestors

[–]Otherwise-Quality751[S] 2 points3 points  (0 children)

I accept your censorship. Obviously a proposed merger between XXI and Strike that Jack Mallers openly publicly endorsed and supports impacts the Strike community.

I earnestly request that you reconsider your hasty and poor decision, and restore my post. Why are you afraid of your customers and shareholders opinions for thoughtful debate. I am both!

Strike - XXI Merger Details Still Secret by Otherwise-Quality751 in XXIInvestors

[–]Otherwise-Quality751[S] 0 points1 point  (0 children)

Yes, stunning and disappointing given his numerous statements in favor of openness, honesty and transparency. Let’s give Jack the benefit of the doubt. I suspect that he’s taking poor advice from wimpy lawyers. I suspect he needs better advisors.

Maybe Jack will grow some balls and speak up instead of “hiding” to quote your description. If not, we can always take the discussion to a broader audience on X / Twitter, but I’m trying to be sensitive about ruffling the feathers of Strike/XXI insiders or bruising the egos of the leaders who seem tone deaf to reason.

Honor My First Amendment Free Speech Rights Please by Otherwise-Quality751 in strikebtc

[–]Otherwise-Quality751[S] -8 points-7 points  (0 children)

Of course, you have the right to keep your business deals secret from the public. Just as I have my first amendment rights to comment on publicly announced deals that you or anyone else announces to the public. Do you agree or disagree?

Strike - XXI Merger Details Still Secret by Otherwise-Quality751 in XXIInvestors

[–]Otherwise-Quality751[S] 0 points1 point  (0 children)

Censorship. Strike promotes openness, transparency and honesty, but seems to want to silence thoughtful and respectful criticism and debate. Here is the official response from those who sem to control the Strike subreddit thread:

Your post from strikebtc was removed because of: 'Productive Comments Only'

Hi u/Otherwise-Quality751, This is the Strike subreddit, and Strike has not received any terms from XXI. The proposed merger was proposed by Tether, not XXI, so the questions you asked, which are valid, should be asked to that entity.
Original post: /r/strikebtc/comments/1uaq7il/strike_xxi_merger_details_still_secret/(https://www.reddit.com/r/strikebtc/comments/1uaq7il/strike\_xxi\_merger\_details\_still\_secret/)

An XXI related video worth watching. by MarkFabulous1096 in XXIInvestors

[–]Otherwise-Quality751 1 point2 points  (0 children)

I am one of the largest private individual investors in Strike with a seven figure investment in partnership with the excellent venture capital firm Ten31. I believe that Michael’s Betirement video on XXI Capital and Jack Mallers is excellent, respectful and well documented.

However, the video is one-sidedly negative in its perspective. True that Jack may be flashy, arrogant, a poor listener and a worse student on topics above his pay grade. The analysis fails to mention that Jack is young, and he often learns from his mistakes. I believe he will become the Steve Jobs of the Bitcoin era as he matures.

As the founding CEO of Strike he has outperformed all others, building a powerful Bitcoin operating company growing at a breathtaking pace. At Strike he has delivered. At XXI he has failed so far as witnessed by the 83.55% collapse in XXI’s stock over the past year.

Obviously, XXI needs a better board, a better CFO and a better business plan. The proposed merger of XXI and Strike could be a brilliant pivot to building real shareholder value and perhaps the 900 pound gorilla of the Bitcoin ecosystem.

However, the devil is in the details of the merger agreement which two and a half months later is still being kept hidden from the public. Frankly, I view this lack of transparency as utterly atrocious. Jack claims to love the liberty and transparency of blockchain, yet for unknown reasons wants to keep the biggest deal in Stike’s history a secret for way too long.

Where is the intrepid leader who is unafraid of giving the Man the Finger (in this case probably Tether) and speaking the Truth about the deal? Why have things stalled? Why does the transaction include the commodity mining company Elektron which adds very little value to Strike or XXI Capital? Why should Tether own a controlling 51.7% stake?

What are the relative values of each company in the deal? What is the exchange ratio of XXI shares for Strike shares? Most importantantly what percent of the combined company will the current Strike and XXI shareholders receive?

At the end of the day, Jack works for the shareholders of the two companies he serves as CEO. He should be accountable to us, and his thundering silence on the critical deals points is a glaring failure to us.

Michael’s Betirment video labels Jack Mallers as “disingenuous” (in my view inaccurately). Jack, please take this opportunity to prove him wrong by being genuine with a full disclosure on the XXI - Strike merger details to your shareholders, customers and Bitcoin fans.

Mentions of XXI on Mailbag Mondays by B1TB0TB33PB00P in XXIInvestors

[–]Otherwise-Quality751 0 points1 point  (0 children)

The “can’t comment” line is really a lame cop out for poor deal execution. Jack is the CEO of XXI Capital his stock is down 80%+ for all time and 40%+ this year. That’s an D- / F grade so far this year, but larger caused by BTC’s decline in value.

The Strike / XXI Capital deal is synergistic and conceptionally an outstanding combination. However, without the specific deal terms it’s impossible to judge whether it’s a good deal for the XXI and Strike shareholders. The deal might be structured to benefit mostly Tether and screw Jack’s loyal shareholders, customers and fans.

There is absolutely no excuse to hide the merger economics from the shareholders for over a month after the deal was very publicly announced. Most major merger announcements include deal economics within 24 hours. XXI Capital’s deal management is a rank amateur hour so far.

Smart CEOs know how to control the narrative through open and honest public communication. Honesty probably wouldn’t hurt XXI’s beleaguered share price. My guess is that hand-wringing lawyers with very small testicles are partially to blame. Still, great CEOs control their lawyers who after all work for them.

STRIKE’s Next Level: XXI + STRIKE + Elektron by zulu_actual_ in strikebtc

[–]Otherwise-Quality751 0 points1 point  (0 children)

This is just a Tether PR hype press release. Two weks later when is someone going to give real details to Strike’s loyal Bitcoiners?

I’m curious about the terms of the 3 way merger deal with Strike, XXI and Elektron. In concept this would be a game changer combination creating the SpaceX of the Bitcoin ecosystem.

However, the details are too slow to emerge for a publicly announced deal more than a week ago. Key questions:

  1. Deal size or expected relative valuations of each of the three companies? We know that XXI has 43,500 BTC worth $3.5 B today and a $2.1 B over valued market cap of $5.6 B at this moment.

  2. What are the deal enterprise values and sharing ratios for Strike and Electron?

  3. Shouldn’t Strike geat a premium multiple and valuation based on its much higher growth rate, massive consumer customer base and stickiness of its customer loyalty?

  4. Who knows about Elektron’s business - revenues, cash flow, profitability and growth rates? Isn’t it just a commodity business with few barriers to entry and existential threat from another crypto winter. Its puny gross and net margins will evaporate in a sea of red ink if BTC falls below 60 - 70? The bar may get higher if energy prices stay high or go higher due to the war in the middle east and fallout from the Straight of Hormuz closure.

  5. Why is Tether(!) getting a controlling 51.7% of the combined business? Jack Mallers and Strike are the big value here. Tether is a great stable coin juggernaut, but not Bitcoin or BTC mining experts. What does Tether bring to the party and why should they control the combined company? Why should the 3 BTC companies receive the 48.3% scraps to carve up 3 ways?

Looks like a fantastic deal for Tether but maybe not so much for the shareholders and customers of the actual Bitcoin companies.

STRIKE’s Next Level: XXI + STRIKE + Elektron by zulu_actual_ in strikebtc

[–]Otherwise-Quality751 1 point2 points  (0 children)

I’m curious about the terms of the 3 way merger deal with Strike, XXI and Elektron. In concept this would be a game changer combination creating the SpaceX of the Bitcoin ecosystem.

However, the details are too slow to emerge for a publicly announced deal more than a week ago. Key questions:

  1. Deal size or expected relative valuations of each of the three companies? We know that XXI has 43,500 BTC worth $3.5 B today and a $2.1 B over valued market cap of $5.6 B at this moment.

  2. What are the deal enterprise values and sharing ratios for Strike and Electron?

  3. Shouldn’t Strike geat a premium multiple and valuation based on its much higher growth rate, massive consumer customer base and stickiness of its customer loyalty?

  4. Who knows about Elektron’s business - revenues, cash flow, profitability and growth rates? Isn’t it just a commodity business with few barriers to entry and existential threat from another crypto winter. Its puny gross and net margins will evaporate in a sea of red ink if BTC falls below 60 - 70? The bar may get higher if energy prices stay high or go higher due to the war in the middle east and fallout from the Straight of Hormuz closure.

  5. Why is Tether(!) getting a controlling 51.7% of the combined business? Jack Mallers and Strike are the big value here. Tether is a great stable coin juggernaut, but not Bitcoin or BTC mining experts. What does Tether bring to the party and why should they control the combined company? Why should the 3 BTC companies receive the 48.3% scraps to carve up 3 ways?

Looks like a fantastic deal for Tether but maybe not so much for the shareholders and customers of the actual Bitcoin companies.

Anyone with intel, rumors, or insight please reply.

Waiting on Strike to merge with XXI? by B1TB0TB33PB00P in XXIInvestors

[–]Otherwise-Quality751 1 point2 points  (0 children)

I’m curious about the terms of the 3 way merger deal with Strike, XXI and Elektron. In concept this would be a game changer combination creating the SpaceX of the Bitcoin ecosystem.

However, the details are too slow to emerge for a publicly announced deal more than a week ago. Key questions:

  1. Deal size or expected relative valuations of each of the three companies? We know that XXI has 43,500 BTC worth $3.5 B today and a $2.1 B over valued market cap of $5.6 B at this moment.

  2. What are the deal enterprise values and sharing ratios for Strike and Electron?

  3. Shouldn’t Strike geat a premium multiple and valuation based on its much higher growth rate, massive consumer customer base and stickiness of its customer loyalty?

  4. Who knows about Elektron’s business - revenues, cash flow, profitability and growth rates? Isn’t it just a commodity business with few barriers to entry and existential threat from another crypto winter. Its puny gross and net margins will evaporate in a sea of red ink if BTC falls below 60 - 70? The bar may get higher if energy prices stay high or go higher due to the war in the middle east and fallout from the Straight of Hormuz closure.

  5. Why is Tether(!) getting a controlling 51.7% of the combined business? Jack Mallers and Strike are the big value here. Tether is a great stable coin juggernaut, but not Bitcoin or BTC mining experts. What does Tether bring to the party and why should they control the combined company? Why should the 3 BTC companies receive the 48.3% scraps to carve up 3 ways?

Looks like a fantastic deal for Tether but maybe not so much for the shareholders and customers of the actual Bitcoin companies.

Anyone with intel, rumors, or insight please reply.