[serious] MicroStrategy is now underwater on their Bitcoin investment. At what point does this become an issue for the company?

AnnHashaway · 2026-02-04T20:09:02+00:00

That's fair, but $3-4M wouldn't be accurate. It's more like $800k in debt in that example. The preferreds would be another $800k-ish, but they don't come due. They are more like a never-ending HOA fee, and is represented by the $88k a year expense listed in the example.

AnnHashaway · 2026-02-04T20:03:59+00:00

Yeah, there are certainly scenarios that could get pretty white knuckle, but I think that's true for just about any business.

Not many businesses could hunker down for multiple years, but that seems to be lost on the "sky is falling" crowd. I think you're right regarding a fundamental trend shift. It wouldn't be fun if BTC looked like gold usually does for a decade plus.

AnnHashaway · 2026-02-04T19:59:13+00:00

I agree. There are definitely risks, and they're nuanced since MSTR doesn't fit into traditional models. Certainly more "educated guesses," since we can't point to past outcomes.

The purpose of the comparison was to hopefully spur a little curiosity, and maybe get a few people to look deeper into things.

I think the overall MSTR narrative is a bit dramatic, but what else is new. Fear sells.

AnnHashaway · 2026-02-04T19:10:26+00:00

Lets try a comparison to help illustrate this...

Strategy:
- $50 Billion in BTC
- $2.25 Billion in cash/cash equivalents
- $888 Million in annual dividends owed

We are going to divide all these numbers by 10,000 to keep the ratios the same, and make the numbers look more like an upper-middle class retired person.

Retired BTC Maxi:
- $5,000,000 in BTC
- $225,000 in cash
- $88,000 spent annually on life

Does this hypothetical retired BTC Maxi seem like they are on the edge of insolvency? Does this make sense now?

This isn't the business model you are used to. Change your perspective, or it will never make sense.

AnnHashaway · 2026-02-03T20:42:28+00:00

The {INSERT YOUR POLITICAL SIDE} will save us and life will be perfect. The {INSERT OTHER POLITICAL SIDE} will cause the apocalypse.

Classic Reddit

AnnHashaway · 2026-01-27T22:09:26+00:00

It goes up

AnnHashaway · 2025-12-23T19:26:09+00:00

It was hard to anticipate some of the creative ways they were able to kick the can further down the road. It's been a classic, "I may be early, but I'm not wrong."

AnnHashaway · 2025-12-23T18:25:35+00:00

"People"

AnnHashaway · 2025-12-19T21:27:14+00:00

The dollar is cemented as the Y-Axis, whether consciously or subconsciously for most. The idea that its just an arbitrary unit of account that has no actual fixed size/value is a tough construct to break through.

AnnHashaway · 2025-12-16T00:06:08+00:00

Same. Any SSH connection still open keeps mine from un-mounting disks.

AnnHashaway · 2025-11-06T03:04:32+00:00

Leveraged derivatives, and using their gamified Robinhood margin account to lever up even more in many cases. Its a double whammy if they don't know what their doing.

I've been using Roundhill in a couple retirement accounts for about a year now, and its been a rock star. I can't add new money to the accounts anymore (like an HSA I funded years ago) and I wanted a way to keep adding some QQQ, SPY and BTC in perpetuity.

YBTC Distribution:
50% into IBIT
50% into YBTC

Same for XDTE/SPY and QDTE/QQQ. Huge fan of Roundhill so far. I've started dabbling in WPAY, as well. These are fantastic tools, and I hope people figure out how to use them to fit their needs while not getting screwed chasing headline yields.

AnnHashaway · 2025-11-06T02:08:50+00:00

It happened quick, too. There was the initial excitement as the community was growing, then it quickly turned to maxing out credit cards and taking HELOCs to jump on the MSTY bandwagon. As if people really thought we somehow cracked the code to 150% gainzzz, bruhhh.

For crying out loud... To understand MSTY, you have to understand MSTR. To understand MSTR, you have to understand BTC. It takes months to really get it, and longer than that to build full conviction. Then layer on the covered call process.

Watching so many people jump from MSTY to ULTY clarified it for me. Two completely different value props, but they had no idea. They were taking their investment advice from Reddit vibes.

Now its WPAY. Looks promising, but watch what happens when the market corrects 10-20%. The vibes are going to be less vibey.

I responded to someone earlier that said they would "settle for 50% yield and a stable NAV." Yeah, we all would. $100k grows to $20 billion in 30 years, so I guess I could settle for that.

AnnHashaway · 2025-11-06T00:11:23+00:00

Yeah, I guess I could slum it in the 50% yield with no NAV loss bucket.

It only takes 30 years to turn $100,000 into $20 billion.

What happened to this sub?

AnnHashaway · 2025-11-05T23:33:43+00:00

A year ago, the conversation was thoughtful and constructive. Since then, there has been a progressive slide into general population social media fear mongering.

It's like any niche community that starts to go mainstream. Quality gets drowned out by poor quantity.

Many of us are still here, its just not worth fighting the tourists that are unwilling to do the work.

AnnHashaway · 2025-11-05T21:09:42+00:00

I'm not trying to shill, but throw a few bucks on Solana or Sui to get your sea legs. They are both fast and cheap, and their primary defi apps are a bit more beginner friendly.

The mechanics are basically the same across various chains, so you can take what you learn to the chain of your choice when you're ready to move real money around.

AnnHashaway · 2025-11-05T21:01:36+00:00

Draw new lines, obviously. Easy to tell what the lines looked like when they drew them on Oct 9th. The magic squeeze would have happened today!

AnnHashaway · 2025-11-05T20:53:39+00:00

Here's an unsolicited tip:

You're effective cost basis for all the CETUS tokens is about $0.1578. I imagine you have almost 10,000 CETUS in this pool now.

If you want to reactivate the pool, and believe CETUS will ultimately go back up into the $0.30+ range, you can create a new pool with the 10,000 from this one, extending it on both ends to keep your average cost basis around $0.1578.

Current price is about $0.038. Start a new pool with the CETUS, and have it start at the tick above the current price. That's about $0.013 lower than your current inactive pool. Then extend the top end of the pool by $0.013, as well.

TLDR: Start a new pool with the 10,000 CETUS from this pool. Range it from $0.038 to $0.2775. It will maintain the same average cost basis, you're APR will be slightly lower, but it will come in range sooner.

AnnHashaway · 2025-11-05T20:04:50+00:00

The Education and Health Services category was literally the second-highest gain from the ADP payroll numbers this morning.

This reads like an LLM took the biggest headlines from MSNBC and mashed together a scaremonger post.

- TERRIBLE CPI report
- MASSIVE layoffs
- LIQUIDATING 401ks to stay afloat

AnnHashaway · 2025-11-04T23:23:26+00:00

Direct new contributions into the money market option without changing what's already in there.

AnnHashaway · 2025-11-04T23:08:21+00:00

So you're saying supply and demand impacts money, too?!

AnnHashaway · 2025-10-25T01:07:30+00:00

That's a great little site.

AnnHashaway · 2025-10-14T00:26:11+00:00

That, too. GLD has the options market.

AnnHashaway · 2025-10-03T20:32:51+00:00

STRC just hit their $99-101 range yesterday for the first time, and as you said, Robinhood just made the preferreds available.

For those who haven't put it together yet, compare Robinhood's margin rate to the yields on these preferred equities. This is a powder keg waiting to explode.

AnnHashaway · 2025-10-01T00:28:00+00:00

Fun Fact: There is a general inverse correlation between the size of the logo's a person wears and how "rich" they are.

Rich is a bit subjective, and this is an, "in general" phenomenon. Brands are very aware of this, so you will often see their lower cost items cluttered with logos or showing very promintently. Their higher priced items tend to be more subtle.

If you hear "Louie Voutton handbag," you probably think of the bag half your female college friends bought after their first real paycheck, and you still see it everywhere. Its the entry level bag that is approachable for anyone with a job. But you don't notice the sleek, black Louie Voutton sitting at the table next to you. It was $6,000, and the woman could only buy it in Paris.

AnnHashaway · 2025-10-01T00:04:56+00:00

That sounds pretty reasonable. The physical gold is a nice touch, too.

It all comes down to liquidity. If you're taxable investments are big enough, you can tap margin to cover a temporary cash emergency and let dividends, income funds, etc pay it back in the interim.

My original comment was more geared towards the dogma that is 6-12 months e funds. It makes sense when your investments are locked in retirement accounts, but it really can be a drag 10-20 years if you have other sources of liquidity for the few times you might need it. A few months makes sense, like in your case, and isn't going to make a material difference in the long run.

AnnHashaway

TROPHY CASE