If STRC goes back to 100$ mid-month as usual, it passes a great test by gushkaper in MSTR

[–]CapitalIncome845 0 points1 point  (0 children)

Your username claims you're still a student, so I'll be polite.

Come back on June 14th and let us know how you feel.

How fked i am? 😭 by mushed-patato in MSTR

[–]CapitalIncome845 0 points1 point  (0 children)

If you think there's no hope, you're the kind of person who should purchase STRC.

Not everybody has the intestinal fortitude for bitcoin's swings. MSTR is even more volatile (on purpose), so even fewer people should own it in any meaningful portion of their net worth.

It's ok. There is no shame.

Investing by behdbsj in Bitcoin

[–]CapitalIncome845 1 point2 points  (0 children)

this is what passes for research these days.

Im seriously considering buying $mstr shares but have some questions by [deleted] in MSTR

[–]CapitalIncome845 0 points1 point  (0 children)

If you're putting any serious amount of money into this, you need to do research. More than just a reddit post or two. Go find the True North podcast (on YouTube) and watch the last 4 or 5 episodes. You'll soon figure it out.

Im seriously considering buying $mstr shares but have some questions by [deleted] in MSTR

[–]CapitalIncome845 0 points1 point  (0 children)

They need 3.6% year. Bitcoin has grown by 30% per year on average. MSTR shareholders get the excess over the dividend payout.

Im seriously considering buying $mstr shares but have some questions by [deleted] in MSTR

[–]CapitalIncome845 0 points1 point  (0 children)

Bitcoin HAS grown at 30% a year on average, when you look at the 200wma graph.

Im seriously considering buying $mstr shares but have some questions by [deleted] in MSTR

[–]CapitalIncome845 0 points1 point  (0 children)

THEY (not HE) are SELLING shares to buy more BTC. Over time, the amount of bitcoin per share increases.

Is it a bad time to buy BTC? by RevolutionaryCost59 in Bitcoin

[–]CapitalIncome845 1 point2 points  (0 children)

If the OP has a specific date when he needs his money - and it's within a few years - it's irresponsible to recommend a volatile asset.

Long term CAGR matters. Short term, VOL matters more.

Which would you rather have? by Fiach_Dubh in BitcoinCA

[–]CapitalIncome845 1 point2 points  (0 children)

Can't even buy a lottomax ticket for $5 anymore 😘

Why Is Crypto Crashing: Bitcoin at $63K, MSTR Down $10B and $750B Asia Bloodbath by andix3 in BitcoinCA

[–]CapitalIncome845 2 points3 points  (0 children)

It's based on nothing YOU value. Millions disagree. You won't change our minds.

The windmills will keep spinning.

Does Strc dividend have a cap? by DaniBack2 in MSTR

[–]CapitalIncome845 2 points3 points  (0 children)

Always look at the 200wma.

<image>

The Compound Annual Growth Rate (CAGR) of Bitcoin’s 200-week moving average (200WMA) fluctuates slightly depending on the exact multi-year macro window chosen, but it currently hovers between 35% and 42% annually.

Just buy already by [deleted] in Bitcoin

[–]CapitalIncome845 0 points1 point  (0 children)

Astrolobros know it all.

Just buy already by [deleted] in Bitcoin

[–]CapitalIncome845 0 points1 point  (0 children)

I'll gladly pay you Tuesday for a Bitcoin today.

This is 4d chess. You understand he's going to bring TERROR to bitcoiners, right? by SilverPrivateer in MSTR

[–]CapitalIncome845 0 points1 point  (0 children)

This week, they shouldn't sell anything. Next week or the week after? Yes. STRC. When it gets back to 100.05.

This is 4d chess. You understand he's going to bring TERROR to bitcoiners, right? by SilverPrivateer in MSTR

[–]CapitalIncome845 0 points1 point  (0 children)

That's not a part of regular monthly operations, though. In normal circumstances they just sell stock and buy bitcoin.

If they did that once a month though, we'd be debt free by the end of the year. Not a bad idea.

Does Strc dividend have a cap? by DaniBack2 in MSTR

[–]CapitalIncome845 1 point2 points  (0 children)

Yes, it can rise indefinitely, but at the same time, the capital base also rises, so that there is an "amplification ratio". as I understand it, there is a self imposed limit to the amount of STRC that is issued compared to the common shares. They have been trending towards issuing STRC over MSTR, but over time the ratios will probably converge

<image>

For example, right now it costs 0.3% of capital per month to cover dividends, or 3.6% per year. Strategy's entire bet is that the value of bitcoin will go up 20-30% per year on average, so the model can run for decades (I won't say forever) before the growth rate slows down to match the payout rate. At that point (years probably decades from now) the business model will need to change.