Michael Saylor discusses the truth about Bitcoin innovation in 2025—The rise of institutional adoption and the future of the digital credit market

Michael Saylor, founder and chairman of MicroStrategy, emphasized in a detailed interview on the “What Bitcoin Did” podcast that Bitcoin’s true victory lies not in short-term price fluctuations but in the institutional reinforcement of the system—such as the revival of insurance systems, changes in accounting standards, and integration into the banking system. If we rephrase the current transition from Bitcoin being merely a speculative asset to an institutionalized financial asset between 2025 and 2026, this process can be positioned as the most innovative challenge to the traditionally unreliable financial system.

Institutional Adoption Reaches a Historic Turning Point—The Reality of Over 200 Companies Holding Bitcoin

According to Saylor, as of 2024, approximately 30 to 60 companies held Bitcoin on their balance sheets, but by the end of 2025, this number is expected to reach about 200. This rapid increase indicates more than just speculative activity; it is a significant indicator that corporate fundamentals remain strong.

Currently, Bitcoin is priced at $89.47K (as of January 28, 2026). Considering that it hit an all-time high in early October 2024, it becomes clear that the progress of institutionalization over short-term market volatility is becoming more meaningful. Saylor describes the roughly 200 companies adopting Bitcoin out of approximately 400 million companies worldwide as a “market early stage,” asserting that there is enormous room for future growth.

From Insurance Revival to Banking Integration—Revolutionary Progress in Institutional Frameworks

Particularly significant developments for the Bitcoin industry in 2025 include several institutional improvements.

Revival of the Insurance System is the first point. Saylor shared a personal experience of having his insurance policy canceled when purchasing Bitcoin in 2020. The situation where his company held substantial assets for four years but had to bear high insurance premiums reached a turning point in 2025.

Introduction of Fair Value Accounting has enabled Bitcoin-holding companies to recognize unrealized capital gains as profits. This has improved the income statements of companies strategically holding Bitcoin, establishing its legitimacy as a genuine business decision rather than mere speculative activity.

Progress in Government Recognition and Banking Integration is also notable. As Bitcoin was officially recognized by governments as a major digital commodity worldwide, major US banks began or planned to begin Bitcoin-backed loans. While early in the year, it was difficult to secure loans collateralized by $1 billion worth of Bitcoin, by the end of the year, nearly all major banks had started offering loans collateralized by IBIT (iShares Bitcoin Trust ETF), and about a quarter of banks planned to offer direct Bitcoin collateralized loans, marking a rapid shift.

Furthermore, the US Treasury Department issued positive guidance on incorporating cryptocurrencies into bank balance sheets, and the chairpersons of the Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC) officially expressed support for Bitcoin.

Short-term Predictions Are Useless; Long-term Perspective Is Key—The Essence of Bitcoin’s Success

Throughout the interview, Saylor repeatedly emphasized the futility of short-term price predictions. Despite Bitcoin reaching a new high 95 days ago, some critics have made remarks about short-term price movements afterward, but Saylor clearly disagreed.

His philosophy references large-scale ideological movements in history, stating that meaningful change requires a long-term perspective spanning a decade or more. His question—what significance does a price forecast a few months from 2026 hold?—serves as a warning against the industry’s common short-term thinking.

On the other hand, evaluating Bitcoin’s performance over four years using a moving average shows a strongly bullish trend. Saylor points out that the past 90 days have been an excellent opportunity for foresightful investors to buy more. The message to industry participants is that focus should be on the network’s fundamental evolution rather than being swayed by unreliable short-term fluctuations.

Universal Capital in the Digital Age—Legitimacy of Corporate Bitcoin Holdings

Saylor strongly defended the legitimacy of Bitcoin holdings among companies. Regarding the strategy of “selling stocks to buy Bitcoin,” he presents the following logic:

For example, if a company incurs a $10 million annual loss but holds $100 million worth of Bitcoin on its balance sheet, generating $30 million in capital gains, what should be criticized? His counterquestion is: what is to be criticized is not the company’s Bitcoin purchase but its ongoing losses.

For loss-making companies, holding Bitcoin can improve their balance sheets, and for profitable companies, it can increase earnings. Despite approximately 400 million companies worldwide, why does the market react with concern that only about 200 companies adopting Bitcoin is insufficient? Saylor considers this concern itself irrational.

Positioning Bitcoin as universal capital in the digital age means it is not just a speculative commodity but a vital tool for productivity, akin to factories owning power infrastructure. Just as electricity powers all machinery, Bitcoin should become a driving force in the digital economy.

Digital Credit Market Using Dollar Reserves—Strategic Vision for the Future

What is most notable in MicroStrategy’s business strategy is that the company is not entering banking but aiming to build a digital credit market.

According to Saylor, the business model of Strategy is based on the simple philosophy of “Bitcoin = Digital Capital, Strategy = Digital Credit.” The company has established dollar reserves and aims to strengthen corporate creditworthiness to offer new credit products that counteract the unstable, untrustworthy trading forms of traditional financial markets.

While credit investors see Bitcoin’s volatility as excessive, stock investors seek increased volatility. By holding dollar reserves, Strategy adopts a strategy to enhance the creditworthiness of its products.

The potential scale of the digital credit market is enormous. Existing companies issuing senior credit and corporate credit could expand into fields such as Bitcoin-backed derivatives, exchanges, and even insurance companies capitalized on cryptocurrencies—areas that are currently almost nonexistent. Saylor states that, in theory, Bitcoin-backed derivatives could yield results far greater than traditional derivatives, and the market is far from saturation.

For example, capturing 10% of the US Treasury bond market could amount to an estimated $10 trillion, indicating demand for an “everyone-wants” ideal product.

Regarding many companies’ current mNAV (Net Asset Value) below 1, Saylor emphasizes a long-term view, arguing that company value should be determined not by short-term accounting metrics but by its intrinsic value-creating capacity. His point that the potential value of business expansions not yet implemented could be reflected in current stock valuations encourages the industry to move away from unreliable short-term assessments.