{"id":9077,"date":"2025-07-23T16:12:36","date_gmt":"2025-07-23T13:12:36","guid":{"rendered":"https:\/\/handoli.com\/index.php\/2025\/07\/23\/michael-saylor-says-bitcoin-credit-now-has-a-yield-curve-thanks-to-him\/"},"modified":"2025-07-23T16:12:36","modified_gmt":"2025-07-23T13:12:36","slug":"michael-saylor-says-bitcoin-credit-now-has-a-yield-curve-thanks-to-him","status":"publish","type":"post","link":"https:\/\/handoli.com\/index.php\/2025\/07\/23\/michael-saylor-says-bitcoin-credit-now-has-a-yield-curve-thanks-to-him\/","title":{"rendered":"Michael Saylor says bitcoin credit now has a yield curve \u2014 thanks to him"},"content":{"rendered":"
<\/div>\n

On Monday, Michael Saylor announced the IPO of his fourth series of preferred shares offering perpetual yield, Stretch (STRC).<\/p>\n

With its debut, Saylor claims that he\u2019s \u201cbuilding out the yield curve for BTC credit\u201d and has published the world\u2019s first curvature of bitcoin (BTC) credit for the world to behold.<\/p>\n

As founder of the world\u2019s largest publicly traded BTC treasury company, Saylor is unique in his ability to issue yield-bearing securities while holding over 3% of the circulating supply of BTC.<\/p>\n

This privilege, according to Saylor, allows his company to benchmark its rates against the yield curve of multi-trillion dollar bond markets like agency mortgage-backed securities, junk bonds, and even US Treasuries.<\/p>\n

Indeed, according to a diagram published yesterday alongside the STRC IPO announcement, the supposed BTC credit yield that MicroStrategy is building resembles the yield curve of these massive instruments plus a slight premium due to MicroStrategy\u2019s idiosyncratic risks<\/strong>.<\/p>\n

\"\"<\/a>
Slide 19 of Strategy\u2019s July 21, 2025 STRC IPO Investor Presentation<\/figcaption><\/figure>\n

Specifically, according to Saylor, investors are pricing<\/a> Strife (STRF) \u2014 another of MicroStrategy\u2019s dividend-yielding preferred shares \u2014 at a \u201c340 basis point credit spread above the 20-year Treasury bond.\u201d<\/p>\n

In other words, for just an extra 3.4% yield, investors are allegedly willing to forego the full faith and credit of the US government for one of MicroStrategy\u2019s preferreds.<\/p>\n

\n
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The global web tied to MicroStrategy\u2019s $71B bitcoin stash<\/a><\/p><\/blockquote>\n<\/div>\n<\/figure>\n

Read more: We made a dictionary of MicroStrategy\u2019s invented terminology<\/a><\/em><\/p>\n

Bitcoin doesn\u2019t have a yield curve<\/h2>\n

An actual credit yield curve is a graph of yield percentages (interest rates, displayed as percentages) and the maturity lengths of bonds with similar credit quality.<\/p>\n

For most series of government or high-grade corporate bonds, yields curve upward.\u00a0<\/p>\n

A positive, up-and-to-the-right slope is normal. Longer-duration bonds yield more than shorter-term bonds because investors demand additional compensation for greater uncertainty tied to time.<\/p>\n

According to Saylor, MicroStrategy\u2019s BTC credit yield curve is slightly inverted \u2014 down and to the right \u2014 because it reflects the reality of yields available in today\u2019s market<\/strong>.<\/p>\n

Short-term junk bonds and leveraged loans, on the other hand, offer average yields of 6-7% percent today, while long-term US Treasuries offer yields of just 4.9%.<\/p>\n

Of course, the problem with Saylor\u2019s so-called yield curve is that it graphs the yields of different instruments<\/strong>. A yield curve should have a positive slope in normal market conditions because the only variable that changes is time \u2014 not time plus the instrument itself.<\/p>\n

In addition, Saylor\u2019s yield curve\u00a0doesn\u2019t graph bond yields at all<\/strong>. Instead, it graphs dividend rates from preferred shares that are junior to actual bonds in seniority.<\/p>\n

Saylor conveniently excluded the actual bond yields that MicroStrategy has issued from his supposed BTC credit graph.<\/p>\n

\n
\n
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$STRC<\/a> is $MSTR\u2019s stealth weapon.<\/p>\n

While others sell stock to survive, Saylor launches 1-month paper to print fiat \u2192 buy BTC \u2192 boost NAV \u2014 all while keeping equity tight.<\/p>\n

This isn\u2019t leverage.
It\u2019s a Bitcoin yield curve in disguise.<\/p>\n

Hyperbullish. \"\ud83d\udfe7\"\"\ud83d\udcca\" pic.twitter.com\/rpTKSr6tC0<\/a><\/p>\n

\u2014 financialconspirator (@financialcnspr) July 22, 2025<\/a><\/p><\/blockquote>\n<\/div>

Hyperbullish on a \u201cbitcoin yield curve in disguise.\u201d<\/figcaption><\/figure>\n

Moreover, MicroStrategy\u2019s yield curve is not the yield curve of BTC credit at all. In fact, BTC has no yield, nor does BTC offer any form of credit<\/strong>. <\/p>\n

BTC is simply an asset that transacts on a blockchain. Calling four preferred shares of a company \u201cthe yield curve for BTC credit\u201d is aspirational and confusing.<\/p>\n

On the capital stack, STRC is senior to Stride, Strike and MicroStrategy (MSTR) common stock. It\u2019s junior to Strife and the company\u2019s debt, including six series<\/a> of convertible notes.<\/p>\n

Got a tip? Send us an email securely via <\/em>Protos Leaks<\/em><\/a>. For more informed news, follow us on X<\/a>, <\/em>Bluesky<\/em><\/a>, and <\/em>Google News<\/em><\/a>, or subscribe to our <\/em>YouTube<\/em><\/a> channel.<\/em><\/p>\n

The post Michael Saylor says bitcoin credit now has a yield curve \u2014 thanks to him<\/a> appeared first on Protos<\/a>.<\/p>","protected":false},"excerpt":{"rendered":"

On Monday, Michael Saylor announced the IPO of his fourth series of preferred shares offering perpetual yield, Stretch (STRC). With its debut, Saylor claims that he\u2019s \u201cbuilding out the yield curve for BTC credit\u201d and has published the world\u2019s first curvature of bitcoin (BTC) credit for the world to behold. As founder of the world\u2019s […]<\/p>\n","protected":false},"author":1,"featured_media":9078,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"rop_custom_images_group":[],"rop_custom_messages_group":[],"rop_publish_now":"initial","rop_publish_now_accounts":[],"rop_publish_now_history":[],"rop_publish_now_status":"pending","footnotes":""},"categories":[147],"tags":[],"class_list":["post-9077","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-invest"],"_links":{"self":[{"href":"https:\/\/handoli.com\/index.php\/wp-json\/wp\/v2\/posts\/9077","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/handoli.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/handoli.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/handoli.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/handoli.com\/index.php\/wp-json\/wp\/v2\/comments?post=9077"}],"version-history":[{"count":0,"href":"https:\/\/handoli.com\/index.php\/wp-json\/wp\/v2\/posts\/9077\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/handoli.com\/index.php\/wp-json\/wp\/v2\/media\/9078"}],"wp:attachment":[{"href":"https:\/\/handoli.com\/index.php\/wp-json\/wp\/v2\/media?parent=9077"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/handoli.com\/index.php\/wp-json\/wp\/v2\/categories?post=9077"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/handoli.com\/index.php\/wp-json\/wp\/v2\/tags?post=9077"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}