Michael Saylor has urged Bitcoin investors to stay away from leveraged trading, while advocating for long-term borrowing to buy BTC as a smart strategy. According to Saylor, Bitcoin’s value will reach trillions of dollars in the coming years, and nothing can stop this growth.
Saylor’s Caution Against Leveraged Trading
In a recent interview on the “Onramp Media” investment podcast, Michael Saylor, the former CEO of MicroStrategy, warned Bitcoin investors about the dangers of trading with leverage.
“If you’re using 10x leverage… and Bitcoin drops a few thousand dollars while you’re asleep, your position will be liquidated, and you’ll lose everything. It’s not smart—don’t do it!” Saylor advised.
However, he continues to support his company’s strategy of borrowing money to buy Bitcoin, calling it a different approach that, although risky, could be profitable.
“If you can create capital or borrow money at 4% interest to buy Bitcoin, that’s smart… Even smarter if you can hold for more than four years.”
Saylor emphasized that buying BTC with capital that can be held long-term or with loans that don’t need to be repaid for at least four years is a solid strategy. However, he warned against using short-term loans to invest in crypto due to the inherent risks.
The Unstoppable Bitcoin Train
Saylor passionately argued that Bitcoin is unique and has no “second-best” alternative.
“If you understand the brilliance of Satoshi and the vastness of digital capital, you’ll realize that Bitcoin is destined to go from $1 trillion to $10 trillion, $20 trillion, $40 trillion, $80 trillion, and maybe even $160 trillion… Nothing can stop this train,” he declared.
Saylor described Bitcoin as a “universal consolidator,” with the potential to even revive “zombie companies” at the bottom of the Russell 2000 index.
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