Credit to Bitcoin Believer for his intellectual honesty. BB was previously a staunch critic of our analysis on the impact of Saylor’s promotion on STRC and SATA price action. For those unaware, Saylor has been heavily promoting the rival firm over the last few months. While we agree multiple issuers are good for the space, we felt it was inappropriate for Saylor to refer to the rival firm using superlatives such as “optimal” (during an official Strategy earnings call) or their product SATA as “the most interesting story in Bitcoin” on an X post. The infamous X post in question preceded the enormous sell off in STRC yet no accountability has been taken for any negative impact that may have arisen from the communication. Since then, STRC has failed to return to par, despite Strategy executing buy backs of over $1.45 bn. Meanwhile, SATA has grown to over $1.35 bn in notional outstanding. An uncannily similar figure. The buybacks have ramped in scale as we have approached par, despite Saylor’s guidance that they would taper, and buying would remain disciplined. We have noted dozens of anecdotal accounts of STRC shareholders rotating into SATA, yet the rival firm continues to receive promotion (see the thread below), while STRC has still not returned to par. Some observers have now concluded Saylor is actively encouraging MSTR investors to sell and rotate into the other firm. While we make no such conclusion ourselves, we do find it bizarre that the company refuses to directly engage on the topic in a balanced manner. No one doubts the benefits that multiple issuers bring to the industry, the question is whether it is appropriate, or beneficial, for Strategy management to promote a rival firm, particularly since management of the rival firm openly claim their equity will outperform Strategy.

BitStrategy: competition is a good thing. STRC and SATA are competitors. Saylor and Cole: We are not in competition with each other. BitStrategy: by competition, we simply mean you offer comparable products in the same market (digital credit). Saylor and Cole: this is ridiculous. ASST is orders of magnitude smaller than MSTR! BitStrategy: while SATA is much smaller in terms of market capitalization, its dollar volume is material relative to STRC, with SATA volume exceeding 60% of STRC volume on certain trading days. Saylor and Cole: look, this isn’t Pepsi versus Coke, we need multiple issuers to grow the industry! BitStrategy: Yes, we agree multiple issuers is a positive, as long as we all understand that the presence of other issuers may impact demand at the margin in the short term, and may result in a rotation from one product to another. For example, while SATA has grown significantly over the last quarter, STRC has shrunk, resulting in a net reduction in the size of the industry in aggregate. Saylor and Cole: But competition is a good thing! BitStrategy: Yes... we know.