Michael Saylor: Bitcoin Adoption Hindered By Institutional Under-Allocation
MicroStrategy Inc. (NASDAQ:MSTR) Executive Chairman Michael Saylor on Tuesday said he believes institutional investors have yet to allocate enough capital to Bitcoin (CRYPTO: BTC), despite its increasing acceptance as a financial asset.
“If it’s a legitimate institutional asset, everybody is under-allocated to it,” he told CNBC.
New regulations are making it easier for companies to hold Bitcoin on their balance sheets, Saylor added. The Financial Accounting Standards Board’s fair value accounting rules, for example, require companies to report cryptocurrencies at fair market value.
“Fair value accounting is going to create much more transparency and clarity in P&Ls and balance sheets for any companies that are holding Bitcoin,” Saylor explained. This could encourage corporations to treat Bitcoin as a treasury reserve asset, similar to government bonds and sovereign debt.
Saylor compared Bitcoin’s growth to past technological shifts, drawing parallels to how companies like Apple and Google reshaped communication and information access.
He argued that Bitcoin …
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