Big Bit Thoughts

  • just because you read more news about bitcoin doesn’t make the price go up.

    4x STRD

    I think the reason why strategy MSTR, the whole Michael sailor enterprise is the best bet is that it is fully leveraged, fully torqued bitcoin.

    So I think the problem with just buying Bitcoin, and holding is that it is not very active. If you want more activity, more action… Saylor is it.

    Essentially, while you sleep, Michael sailor is plotting a ways for you to get more bitcoin. Or even better… He is skimming and innovating and inventing new ways that you could get more new products powered by bitcoin.

    Beyond Bitcoin

    So for example, I think a hard thing for us bitcoin anti-establishment folks is that we don’t really understand how the real world of finance works. You don’t understand the trillions of dollars locked up in these fixed income instrument for baby boomer retired people.

    So assuming that the bitcoin market or the crypto market is like in the roughly $4 trillion range…. You have to realize that we are such a tiny tiny tiny tiny fish in an insanely massive sea, which is the $500 trillion behemoth … or the $1000 trillion dollar global economy.

    The market is bigger than all of us

    I never studied finance or economics, yet I’m starting to realize that the whole idea of the market, is like a power and force that is beyond all of us.

    So for example, there are so many different languages countries nation cities on the planet, yet what is the number one thing that ties us all together? The global markets.

  • Why MicroStrategy (MSTR) Outperforms Bitcoin: A Comprehensive Analysis

    Introduction

    MicroStrategy (MSTR) – originally an enterprise software company – has transformed into a major corporate holder of Bitcoin. Since mid-2020, founder Michael Saylor’s bold strategy of using the company’s balance sheet (and beyond) to acquire Bitcoin has radically altered MSTR’s risk/return profile. The stock now behaves less like a traditional tech equity and more like a leveraged Bitcoin investment vehicle . This report examines how and why MSTR has outperformed Bitcoin (BTC) over various timeframes, and analyzes the underlying factors including performance across periods, stock mechanics (leverage and float), MicroStrategy’s Bitcoin acquisition strategy, core business fundamentals, and broader market dynamics. Key data, charts, and tables are provided for a clear comparison.

    Performance Comparison: MSTR vs. Bitcoin Over Timeframes

    To gauge MSTR’s outperformance, it’s useful to compare the stock’s returns to Bitcoin’s returns over different horizons. Table 1 below summarizes the performance of MSTR stock versus BTC over short-term (~6 months), mid-term (~1–3 years), and long-term (~5 years) periods:

    TimeframeMSTR Stock ReturnBitcoin (BTC) Return
    Last 6 Months≈ –5% (down slightly)≈ +4% (modest gain)
    Last 1 Year≈ +134% (more than doubled)≈ +50% (up ~1.5×)
    Last 3 Years≈ +860% (almost 10×)≈ +159% (about 2.6×)
    Last 5+ Years≈ +2,100–2,750% (over 20×)≈ +900–956% (around 10×)

    Table 1: Approximate total returns of MicroStrategy (MSTR) vs. Bitcoin (BTC) over various periods. MSTR’s stock gains have dramatically exceeded Bitcoin’s price gains over multi-year horizons. Sources: MicroStrategy investor reports and market data .

    As shown above, MSTR’s outperformance becomes more pronounced over longer periods. In the short-term (6 months), MSTR can lag or lead BTC depending on entry/exit points – for example, over the last six months MSTR stock was roughly flat to slightly negative (~–5%), versus a modest single-digit percent rise for BTC . Short-term underperformance can happen after a major rally as MSTR often overshoots on the upside and then pulls back more sharply than BTC.

    Over a one-year timeframe, however, the difference is striking: MSTR more than doubled (+134% year-on-year) while Bitcoin rose about +50% . This reflects MSTR’s high-beta response to Bitcoin’s bull market in the past year – the stock delivered roughly 2.7× the return of BTC in this period. Looking at multi-year periods, the trend continues: for instance, in the past 3 years, Bitcoin appreciated about +159%, whereas MSTR skyrocketed roughly +860% in the same window . MSTR vastly outperformed not only BTC but also the S&P 500 (which was up only ~38% over 3 years) .

    Over a 5-year horizon, MSTR’s outperformance is even more dramatic. Since implementing its Bitcoin strategy (mid-2020 onward), MicroStrategy’s stock price has surged on the order of 20–30×, equating to well over +2,000% total return . In contrast, Bitcoin – while extremely strong – rose roughly 10× (around +900%) in that span . Put another way, $1 invested in MSTR five years ago would have grown to over $20, whereas $1 in Bitcoin would be about $10** . This outcome underscores the amplified upside MSTR shareholders have experienced during Bitcoin’s ascent.

    It is worth noting that prior to 2020, MSTR did not track or outperform Bitcoin – in fact, before MicroStrategy’s initial Bitcoin purchase in August 2020, the stock had little correlation with BTC and sometimes even moved opposite to it . The outperformance phenomenon is largely a product of the post-2020 period when MSTR embraced a Bitcoin-focused treasury strategy. The following chart helps illustrate how closely – and intensely – MSTR now mirrors Bitcoin’s moves.

    Normalized 12-month price chart of MSTR vs. BTC. Both assets are indexed to 1.0 at the start of the period. The blue line (MSTR) exhibits much larger swings than the orange line (BTC). Notably, during Bitcoin’s rallies the MSTR stock spikes even more steeply, reflecting its leveraged exposure. Conversely, in pullbacks MSTR also dips more sharply. This visual highlights MSTR’s greater volatility and its tendency to achieve outsized gains relative to Bitcoin during uptrends (and deeper drawdowns during downturns).

    In summary, MicroStrategy has outperformed Bitcoin across multiple timeframes – especially over 1+ year horizons – chiefly because MSTR functions as a leveraged play on Bitcoin’s price. When Bitcoin’s value rises substantially, MSTR’s value tends to rise even more in percentage terms. The reasons lie in MSTR’s unique stock mechanics and corporate strategy, which we explore next.

    Stock Mechanics Driving MSTR’s Price Performance

    Several stock-specific mechanics contribute to MSTR’s amplified price performance versus Bitcoin. These include built-in financial leverage, a limited share float, and investor trading dynamics:

    • High Leverage to Bitcoin: MSTR has effectively turned itself into a leveraged Bitcoin proxy. The company has borrowed money and issued new shares extensively to buy Bitcoin, magnifying the stock’s sensitivity to BTC’s price . As of late 2024, MicroStrategy had acquired ~386,700 BTC using ~$9 billion of debt financing (some at 0% interest) and $4.6 billion from equity issuance . This aggressive capital structure means MicroStrategy’s balance sheet is ~99.5% Bitcoin by value . The result: MSTR’s stock behaves like Bitcoin on steroids, with roughly 2.5× the volatility of BTC in daily trading . Analysts note that MSTR’s share price is essentially a “call option” on Bitcoin – it offers asymmetric upside because the company doubles down on BTC as its price rises . This leverage is a key reason MSTR’s gains outstrip Bitcoin’s during bull runs. (Of course, it also means MSTR can fall harder during bear markets, as seen in 2021–2022.)
    • “Bitcoin Yield” via Equity Issuance: MicroStrategy’s management actively exploits any stock price premium to enhance Bitcoin holdings per share. Saylor refers to this as generating “Bitcoin yield” . The concept is: if MSTR’s stock appreciates faster than Bitcoin, the company can issue new shares at high prices and use the proceeds to buy more BTC, so that even after dilution each share ends up backed by more Bitcoin . For example, if MSTR shares jump far above the value of their underlying BTC, management could sell, say, 10% new equity to increase total BTC holdings by 20% – thereby raising BTC per share by ~10% net . This arbitrage-like strategy has indeed been employed repeatedly. Over the past five years, MSTR’s shares outstanding increased ~122% (more than doubled) as the company sold stock to raise funds for Bitcoin purchases . Importantly, these moves often added value for continuing shareholders since the capital raised was used to buy Bitcoin during price dips or plateaus, increasing the BTC backing each share. This dynamic creates a positive feedback loop: strong stock performance begets more BTC accumulation, which in turn can drive the stock higher. Analysts at VanEck describe this recursive cycle as a “meta-stable ‘crypto reactor’” – volatility and investor enthusiasm fuel a premium on MSTR, the company issues equity into that strength to acquire more BTC, which amplifies the stock’s exposure and can further increase its premium . In essence, MicroStrategy has leveraged its stock as a financing tool to continually boost its Bitcoin stake, augmenting shareholders’ upside in a rising BTC market.
    • Limited Float and Trading Dynamics: MicroStrategy’s stock mechanics are also influenced by its share structure and how traders use the stock. The company has two classes of shares, and founder Michael Saylor remains the largest shareholder (holding roughly 8–10% of shares and a majority of voting power via super-voting Class B shares) . This insider ownership, along with significant institutional holdings (~47% of float) , means the effective public float is relatively scarce. When demand spikes – for example, if institutions or hedge funds rush to gain Bitcoin exposure through MSTR – the limited float can exacerbate price swings upward. Moreover, short selling activity has added volatility. During Bitcoin downturns, MSTR stock has attracted heavy short interest from skeptics betting it’s overvalued. At one point in 2022, short interest reached an astonishing 50% of MSTR’s float . This set the stage for powerful short squeezes: as some shorts covered their positions, the thin float sent the stock soaring. In August 2022, for instance, despite MicroStrategy reporting a large $918 million impairment loss on its BTC holdings, the stock jumped 14% in a day, likely due to short sellers covering en masse (a classic squeeze) . In summary, low float + high short interest = extreme moves. When sentiment shifts positive, shorts scrambling to cover can turbocharge MSTR’s rallies. And even aside from squeezing, the institutional trading dynamics matter: many investors restricted from holding crypto directly (e.g. certain funds or retirement accounts) have used MSTR as a proxy, boosting demand for the stock in bullish times. This “proxy demand” has sometimes driven MSTR to trade at a significant premium to its underlying Bitcoin value (discussed more below), reinforcing the cycle of outperformance.

    In combination, these mechanics – financial leverage, opportunistic equity issuance, and unique supply/demand factors in the stock market – cause MSTR to move much more dramatically than Bitcoin itself. MSTR essentially offers leveraged exposure with built-in re-investment, which can be highly rewarding when Bitcoin’s price is rising. Of course, these same factors increase risk: leverage and small float cut both ways, making MSTR far more volatile and potentially vulnerable in a severe Bitcoin downturn (e.g. risk of debt overhang or dilution in a crisis). But as long as Bitcoin trends upward over time, MicroStrategy’s structure positions it to outperform on the upside.

    MicroStrategy’s Bitcoin Acquisition Strategy and Impact on the Stock

    Under Michael Saylor’s leadership, MicroStrategy executed a radical Bitcoin acquisition strategy that underpins its stock performance. Understanding this strategy is key to evaluating why MSTR has done so well:

    • All-In Bet on Bitcoin: On August 11, 2020, MicroStrategy made its first Bitcoin purchase, marking the start of an unprecedented corporate shift . Saylor famously decided that Bitcoin would be the company’s primary treasury reserve asset, viewing BTC as a superior store of value (a hedge against inflation and currency debasement). In Saylor’s words, “Take all your money. Buy Bitcoin. Then take all your time and figure out how to borrow money to buy more Bitcoin… figure out what you can sell to buy Bitcoin.” . This quote, albeit tongue-in-cheek, genuinely reflects MicroStrategy’s approach: deploy cash, debt, and even equity – essentially whatever it takes – to accumulate more BTC. Over the next few years, MicroStrategy repeatedly doubled down. It poured all existing cash into Bitcoin, took on billions in debt, and sold new shares, using virtually every dollar raised to buy BTC. As of late 2024, the company had amassed roughly 279,000 Bitcoins in total . By year-end 2024 that figure grew further – around 444,000 BTC held by December 2024 – and it has continued climbing. (MicroStrategy even raised more capital in 2025, including a $711 million preferred stock issuance, to buy additional coins .) This relentless accumulation has transformed MicroStrategy’s identity: from a mid-sized software firm into effectively a Bitcoin holding company or quasi-ETF. The stock market has taken note, revaluing MSTR almost entirely on its Bitcoin trove.
    • Massive Impact on Market Capitalization: The scale of MicroStrategy’s Bitcoin bet led to an explosive increase in the company’s market value. Before this strategy, in early 2020, MicroStrategy’s market cap was under $1 billion . Fast forward five years: by late 2024, MSTR’s market capitalization hit on the order of $80–100 billion . That’s roughly a 100-fold increase in value, making MicroStrategy one of the most valuable companies in the business intelligence sector – or indeed in the entire market – purely on the strength of its Bitcoin holdings . Notably, this valuation surge occurred even while MicroStrategy’s core software business saw declining revenue and no major improvement in cash flows . In other words, virtually all of the stock’s gains can be attributed to its Bitcoin strategy, not traditional business growth . Management openly acknowledges this: MicroStrategy’s fortunes rise and fall with Bitcoin now. The stock’s performance closely tracks Bitcoin’s price (with a high correlation post-2020) and often anticipates big BTC moves. Some traders even view MSTR as a high-octane ETF – a way to get Bitcoin exposure plus leverage plus Saylor’s stewardship.
    • Execution: Debt, Equity, and Treasury Operations: MicroStrategy’s strategy has been executed via a series of bold financial moves:
      • The company issued several convertible bonds and notes at extremely low interest rates (taking advantage of 2020–21’s easy money environment). For example, it raised $650 million at 0.75% in late 2020, $500 million at 0% in 2021, and so on . In total, by 2024 MicroStrategy had over $4 billion of debt on its balance sheet largely incurred to buy Bitcoin . Saylor specifically structured much of this debt to be long-term, unsecured, and in some cases convertible, giving flexibility and avoiding immediate margin calls even if BTC’s price dips . The low interest expense on this debt (some of it literally 0% coupon) meant the company could hold BTC without high carry costs – essentially a leveraged Bitcoin position financed by cheap loans.
      • Concurrently, MicroStrategy launched multiple at-the-market (ATM) equity offerings, selling new shares into the market and using the proceeds entirely to acquire more Bitcoin. Investors, seeing the stock’s meteoric rise, were eager to buy these additional shares – effectively betting alongside Saylor. As noted, shares outstanding more than doubled from 2020 to 2024 due to these issuances . Despite dilution, the strategy still benefited existing shareholders because the capital raised was deployed productively (i.e. into BTC that appreciated). MicroStrategy’s management coined the term “Bitcoin yield” for the incremental BTC per share they can generate by issuing stock at a premium .
      • The company adopted a long-term “HODL” approach – it does not trade or hedge its Bitcoins, but rather holds them in cold storage as a treasury asset. Even during Bitcoin bear markets, MicroStrategy added to its stash (albeit at a slower pace in 2022). This unwavering accumulation has made MicroStrategy the single largest corporate BTC holder in the world by a wide margin. By early 2025, MSTR held more Bitcoin than any public company or financial institution aside from a few Bitcoin ETF trusts . This dominant position effectively makes MSTR’s stock a proxy for owning a large basket of Bitcoin.
    • Market Perception and Stock Impact: MicroStrategy’s execution of this strategy had an immediate and profound impact on its stock price. Investors came to view MSTR as the closest thing to a Bitcoin ETF or Bitcoin mutual fund available in U.S. equity markets – especially before actual spot ETFs were approved. During the 2020–2021 bull run, many institutional investors who wanted crypto exposure (but had mandates preventing direct crypto ownership) simply bought MSTR shares. This new class of shareholders dramatically altered MSTR’s shareholder base and drove demand for the stock. The result: MSTR’s stock often reacted instantaneously to Bitcoin’s moves – sometimes even leading the market on anticipation. For example, MicroStrategy’s stock would rally in advance of expected positive Bitcoin news (like ETF rumors or macro events) as traders tried to front-run a BTC move, effectively pricing in Bitcoin optimism ahead of time. MSTR became woven into the Bitcoin market narrative, with Saylor’s high-profile advocacy further boosting investor sentiment. It’s fair to say that MicroStrategy’s bold strategy paid off handsomely for shareholders (at least up to now): management’s “all-in” bet led to immense wealth generation, with MSTR’s stock up over 20-fold in five years . This success also influenced others – a few companies (like Bitcoin miners and even GameStop) toyed with similar “BTC treasury” ideas seeing MSTR’s results .

    In summary, MicroStrategy’s Bitcoin acquisition strategy – aggressively leveraging the company to accumulate BTC – is the fundamental driver of MSTR’s outperformance. By turning corporate finances into a Bitcoin-buying machine, MSTR positioned itself to capture not just Bitcoin’s base return but an amplified return (via leverage and continual accumulation). The stock’s fate is now directly tied to Bitcoin’s fate. This strategy has been a double-edged sword at times (leading to large paper losses during crypto crashes), but in the grand scheme, it transformed MicroStrategy into a high-growth asset in line with Bitcoin’s trajectory rather than a slow-growth software firm. The next section examines how the traditional business fundamentals factor into (or rather, scarcely influence) this story.

    Role of Business Fundamentals vs. Bitcoin Holdings

    Given MicroStrategy’s focus on Bitcoin, one might wonder: what about the actual software business? How have revenue, profits, and enterprise value contributed to the stock’s performance? The reality is that traditional fundamentals have taken a backseat – MSTR’s valuation is now driven far more by its Bitcoin holdings and strategy than by its legacy analytics business’s financial performance.

    • Core Business Performance: MicroStrategy’s legacy business – selling business intelligence (BI) and analytics software – still generates around $500 million in annual revenue and has been marginally profitable in some years . However, this business has been stagnant to declining. In fact, over the past five years, MicroStrategy’s revenue decreased and its operating income deteriorated . By 2024/2025 the company often reported net losses, largely due to accounting charges related to Bitcoin price swings (more on that shortly) . For example, in Q1 2025 MicroStrategy reported a huge $4.2 billion net loss – not from poor software sales, but from a one-time write-down on its Bitcoin holdings under new fair-value accounting rules . Such GAAP losses make the P/E ratio meaningless. Yet, despite these grim earnings figures and anemic software growth, MSTR’s stock soared. This disconnect highlights that investors are valuing MicroStrategy on its Bitcoin assets and prospects, not on software fundamentals. As one analysis flatly noted, all of the stock’s massive gains since 2020 “are attributable to its Bitcoin strategy” – the core business did not drive the stock’s rise at all . In traditional terms, MicroStrategy’s enterprise value (market cap plus debt minus cash) is now almost entirely tied to the market value of its Bitcoin holdings. Any contribution from the software business (e.g. valuing it at a typical tech-multiple of sales) is relatively minor in the context of an $80+ billion company.
    • Bitcoin Holdings and Net Asset Value (NAV): The key fundamental figure for MSTR is the value of the Bitcoin it owns. By late 2024, MicroStrategy’s BTC stash (over 440k coins) was worth roughly $42 billion at market prices . By early 2025, after additional purchases, the holdings were even larger (one report cited ~568k BTC by May 2025, though this may include pending acquisitions) . Compare this to MSTR’s market capitalization – which was about $82–108 billion around the end of 2024 into 2025 . Clearly, the stock was trading at a substantial premium to the fair value of its Bitcoin. Even accounting for the modest value of the software division, analysts estimated MSTR was priced at roughly +112% above its net asset value (NAV) (i.e. more than double the combined value of its BTC holdings plus the software business) . This premium implies that investors are forward-looking – they expect MicroStrategy to keep increasing its Bitcoin per share (via that equity issuance strategy and/or future earnings) and perhaps assign extra value to Saylor’s stewardship or the convenience of the stock format. In effect, the market has been willing to pay more for MSTR shares than the underlying Bitcoin is objectively worth. One reason is regulatory and institutional convenience: holding MSTR stock is easier for many funds than holding actual BTC, so a premium emerged for the “packaged” exposure . Another reason is the expectation of future value creation – investors betting that Saylor will find ways to add even more BTC or otherwise leverage the assets (a kind of speculative growth premium on the BTC holdings) . MicroStrategy management has cheekily termed this extra value “Bitcoin Alpha” or “Bitcoin yield” – the idea that the company can outperform simple BTC ownership by savvy capital moves. However, such a premium is also a double-edged sword: it could evaporate if confidence wanes or if a cheaper alternative to get Bitcoin exposure arises (like a spot ETF, discussed later).
    • Cash Flow and Debt Considerations: Traditional fundamental factors like cash flow, interest expense, and debt levels do still matter insofar as they affect MicroStrategy’s ability to hold and acquire Bitcoin. The company’s software business, while not growing, does produce some revenue and cash that can support operating costs (so MSTR doesn’t have to sell BTC to fund itself – a critical point). Additionally, MicroStrategy’s choice to use long-term debt and equity means it has avoided needing to liquidate Bitcoin holdings even during downturns. However, interest rates and debt servicing are becoming more pertinent. As of early 2025, MicroStrategy had about $4.2 billion in outstanding debt , and rising interest rates could increase pressure if the company ever needs to refinance or pay down this debt. Saylor has stated a preference for debt that is convertible or unsecured and ideally non-recourse, to minimize risk of forced liquidation . So far, they’ve managed this well: many notes don’t mature for several years, and some were issued at 0–1% rates. But if future borrowing costs are much higher, it might slow the strategy (or push them to rely even more on equity issuance). Notably, in 2025 MicroStrategy began issuing a new series of preferred shares (with a dividend) rather than only common stock, perhaps reflecting the higher cost of capital in a 5%+ interest rate environment . Fundamentally, though, MicroStrategy’s ability to continue holding its Bitcoin (and avoid distress) appears solid as long as Bitcoin’s price doesn’t collapse far below the company’s average purchase cost. Their BTC average cost basis is around ~$56,500 per coin . BTC was well above that (>$100k) in 2024–2025, meaning the holdings had huge unrealized gains. Even if BTC fell substantially, new accounting rules in 2025 allow MicroStrategy to mark its Bitcoin to market (both up and down) each quarter, which could reduce the bizarre accounting volatility (previously, they had to take large impairment losses during price dips and couldn’t mark gains until sale) . In short, traditional financial metrics are currently overshadowed by Bitcoin metrics for MicroStrategy. Investors primarily track Bitcoin per share, total Bitcoins held, and the NAV premium – not revenue or EPS. It’s a paradigm shift: MSTR is valued more like an asset-holding vehicle than an operating company.
    • Enterprise Value and Future Outlook: If one were to value MicroStrategy in a sum-of-parts, it might be: the market value of its Bitcoin ($X billion) + a value for the software business ($Y million) – debt. As noted, the market cap has often exceeded (Bitcoin value – debt) by a large margin, implying significant intangible premium. Some skeptics argue this premium is unsustainable – that eventually MSTR’s price should equalize closer to its BTC NAV. Indeed, short sellers and even some crypto advocates (like ARK Invest analysts) have suggested that as Bitcoin ETFs and competing “BTC holding companies” emerge, the arbitrage opportunity will shrink . If MSTR’s premium narrowed, the company might have to rely more on debt (rather than lucrative equity issuance) to buy BTC, which could be riskier . On the other hand, bulls believe Saylor will continue finding ways to grow Bitcoin holdings per share and that MSTR’s premium is justified by its active strategy and first-mover advantage . Regardless, it’s clear that MicroStrategy’s fundamentals now lie in its Bitcoin assets and strategy execution, not in its software sales or traditional metrics. This makes the stock’s fate tightly linked to the broader market dynamics around Bitcoin and tech – which we will analyze in the next section.

    Broader Market Dynamics Influencing MSTR’s Performance

    MicroStrategy’s outperformance of Bitcoin hasn’t occurred in a vacuum; it has been influenced by the broader market context. Several external factors – from tech stock trends to interest rates and ETF flows – have played a role in MSTR’s price action and relative performance:

    • Tech Stock Trends & Risk Appetite: MicroStrategy, by virtue of being a NASDAQ-listed tech company, can benefit from general bullishness in technology and high-growth stocks. During risk-on environments, when investors flock to speculative and high-beta plays, MSTR often becomes a star performer. A prime example is 2023–2024’s tech rally: alongside surges in AI and semiconductor stocks (e.g. Nvidia’s meteoric rise), MicroStrategy’s stock saw a spectacular climb. In fact, by late 2024, MSTR was up 477% for the year, making it one of the top-performing U.S. tech stocks (second only to one other mid-cap company) . Its year-to-date gain of +477% in 2024 far outpaced even the hottest Big Tech names. Thanks to its Bitcoin-fueled growth, MSTR outperformed major tech giants like Nvidia, Tesla, Google, Apple, and Microsoft over recent years . For instance, since MicroStrategy adopted the Bitcoin strategy, its stock surged roughly +2,466%, whereas high-fliers like Nvidia rose about +808% in the same period . This shows that in bullish times, MSTR can leverage both crypto enthusiasm and general tech optimism, attracting momentum investors from both camps. Conversely, in risk-off or tech bear markets, MSTR is hit doubly hard. During 2022’s tightening and tech downturn, investors dumping volatile tech stocks and crypto assets found MSTR to be the embodiment of both – so it fell over 80% from its peak, a sharper drawdown than the NASDAQ’s. In summary, when speculative appetite is high, MSTR’s hybrid tech/crypto profile draws massive inflows; when fear reigns, it faces compounded selling pressure.
    • Interest Rates and Liquidity: The macro interest rate environment has indirect but important effects on MicroStrategy’s performance. Low interest rates from 2020 through 2021 provided fertile ground for MSTR’s strategy: cheap debt financing and abundant liquidity made it feasible to borrow large sums to buy Bitcoin . Investors also tend to seek higher-yielding or high-growth opportunities when rates are near zero, which led many to embrace Bitcoin and by extension MSTR. This was evident in 2020’s bull run, when both tech stocks and Bitcoin thrived in a zero-rate, stimulus-fueled climate. On the other hand, the rate hikes in 2022 cooled the exuberance: as the Fed tightened, speculative assets like BTC sank, and MSTR’s leveraged position magnified the pain (the stock’s peak-to-trough collapse from Feb 2021 to mid-2022 was over –80% ). Higher rates also increase the cost of leverage – by 2023–2024, MicroStrategy slowed its debt-funded purchases and shifted more to equity issuance (and in 2025, that preferred stock with a dividend) . There is also a psychological factor: higher bond yields make investors less willing to pay huge premiums for risk assets, potentially compressing MSTR’s NAV premium during tightening cycles. However, by late 2024, markets anticipated eventual easing, and liquidity conditions improved – contributing to Bitcoin nearing all-time highs (~$100k) and MSTR’s explosive 2024 rally. Going forward, if interest rates stabilize or fall, it could again favor MSTR by reducing financing costs and increasing general risk appetite. Conversely, any credit stress or liquidity crunch could force MicroStrategy to reconsider its leveraged bets (though the company has locked in long maturities on debt to avoid short-term pressure). In short, MSTR flourishes in easy money conditions and can struggle when money tightens.
    • Bitcoin ETF Developments and Flows: One of the broader market dynamics directly relevant to MSTR is the advent of Bitcoin exchange-traded funds (ETFs) or similar investment products. For years, U.S. investors had no spot Bitcoin ETF available, which enhanced the appeal of “proxy” vehicles like MSTR. Investors willing to get Bitcoin exposure in brokerage accounts really had two main choices: buy the Grayscale Bitcoin Trust (GBTC) – which often traded at a discount and had its own issues – or buy MicroStrategy stock. This lack of alternatives helped keep demand for MSTR shares strong, even at a hefty premium to NAV . However, the landscape began shifting in late 2023 and 2024: futures-based Bitcoin ETFs launched, and more importantly, spot Bitcoin ETF proposals gained traction (with major firms like BlackRock and Fidelity filing plans). The launch of spot Bitcoin ETFs could be a double-edged sword for MSTR. On one hand, it might dampen MSTR’s premium as investors have a more direct, lower-cost way to get Bitcoin exposure. Indeed, analysts caution that new ETF or structured products offering leveraged BTC exposure could reduce demand for MSTR as a proxy . MicroStrategy’s own CFO has noted that a spot ETF approval would likely arbitrage away some of the premium the stock enjoys. On the other hand, the anticipation of a Bitcoin ETF has often coincided with bullish sentiment and inflows into all Bitcoin-related instruments, including MSTR. In late 2023 when ETF optimism was rising, MSTR’s price ran up alongside BTC, indicating that investors still piled into MSTR to front-run broader institutional Bitcoin adoption. Even after the first U.S. spot ETFs eventually roll out, MSTR might retain a niche appeal: it offers built-in leverage and active management (Saylor’s BTC-maximalist strategy) which an ETF won’t provide. Additionally, some legacy indexes or funds that cannot hold an ETF (or crypto directly) might continue to hold MSTR. For example, if MSTR is part of a tech index, those index funds must buy and hold it regardless of an ETF’s existence. Another nuance: MicroStrategy’s issuance of its own Bitcoin-backed notes or potential involvement in crypto banking could emerge, but that’s speculative. Overall, the ETF factor is something to watch – it could normalize MSTR’s valuation somewhat, but so far MSTR has managed to shine even as Bitcoin investment vehicles proliferate, thanks to its leveraged upside.
    • Regulatory and Institutional Factors: As a publicly traded operating company, MicroStrategy enjoys certain regulatory advantages compared to a dedicated Bitcoin fund. For instance, it faces no direct limits on Bitcoin acquisition (aside from shareholder approval to issue equity), whereas an ETF must strictly custody and not leverage its assets. This has let MSTR act in ways an ETF cannot – like borrowing to buy more BTC. Institutional investors have also seen MSTR as a way to get an actively managed Bitcoin exposure under the umbrella of a regular equity. This dynamic likely contributed to why investors have been willing to pay a premium for MSTR’s BTC holdings . Some have dubbed MicroStrategy a “Bitcoin hedge fund in disguise.” That said, as regulations evolve (for example, more clarity on corporate crypto accounting, or the introduction of a spot ETF under the 1933 Act), the relative advantage of MSTR could change. In late 2024, the accounting rule change to use fair-value accounting for crypto was a boost – it means MicroStrategy can now report unrealized gains when Bitcoin’s price rises, not only impairments when it falls. This could improve reported earnings in bull markets, perhaps making the stock more palatable to certain institutional investors who care about GAAP optics.
    • Geopolitical and Market Sentiment: Broader sentiment drivers – such as geopolitical events, inflation trends, or currency fluctuations – affect Bitcoin and thus MSTR. For example, if Bitcoin is seen as digital gold during an inflation scare or currency crisis, both BTC and MSTR might catch a bid. In late 2024, there was talk of Bitcoin benefiting from geopolitical tensions and monetary uncertainty, which lifted BTC to record highs and pulled MSTR along for the ride . Additionally, stock market dynamics like momentum trading and index inclusion influence MSTR. Once MSTR’s market cap swelled, it likely got onto the radar of large-cap growth indices. (While not confirmed, a ~$100B valuation could qualify MSTR for indices like the S&P 500 – unless S&P deemed the lack of earnings and unusual business model as disqualifiers. If it were included, that would force index funds to buy it, adding a layer of sustained institutional ownership.) Meanwhile, high volatility stocks like MSTR often become favorites of momentum hedge funds and even retail traders looking for big swings. That speculative trading can both propel and pummel the stock independent of fundamentals. For instance, during 2021, MicroStrategy’s share price at times moved more than Bitcoin on certain days purely due to options activity or meme-stock style exuberance. Its name recognition in crypto circles made it a proxy for sentiment: when crypto sentiment is euphoric, MSTR tends to overshoot; when sentiment is fearful, MSTR can undershoot.

    In summary, broader market forces have amplified MicroStrategy’s inherent leverage to Bitcoin. A bullish backdrop for tech and crypto (as seen in 2020 and 2024) led to outsized inflows and performance for MSTR – it was effectively the right asset in the right place at the right time, delivering one of the stock market’s best returns. Factors like low rates and the absence of alternative Bitcoin vehicles provided a tailwind. Conversely, in bearish settings (like 2022’s high-rate, risk-off climate), MSTR’s drawbacks (debt load, volatility) were punished, causing severe but temporary drawdowns. Importantly, MicroStrategy’s management has so far navigated these cycles without having to sell Bitcoin, which has preserved the long-term bullish thesis. The company’s ability to weather storms – combined with the market’s renewed appetite for Bitcoin – has set the stage for its continued outperformance.

    Conclusion

    MicroStrategy’s remarkable outperformance of Bitcoin over various timeframes boils down to one core reality: MSTR is not a typical stock – it is a highly leveraged, actively managed bet on Bitcoin. By converting its balance sheet (and then some) into Bitcoin and continually increasing its holdings, MicroStrategy has positioned its shareholders to reap multiplicative gains whenever Bitcoin’s price rises. Over the past 5+ years, this strategy has been extraordinarily successful – MSTR stock delivered several times the return of Bitcoin itself, handily beating not just BTC but also nearly every tech stock and market index .

    Several factors underpin this outperformance:

    • Embedded Leverage: Through debt and equity maneuvers, MSTR effectively operates as a 2×–3× leveraged Bitcoin fund, amplifying Bitcoin’s gains . This has allowed a $1 increase in BTC’s price to translate into a ~$2–3 increase in stock price, roughly speaking, in bull markets.
    • Strategic Capital Management: Management’s willingness to issue shares at premium prices and buy more BTC (the “Bitcoin yield” strategy) means MSTR can grow its BTC per share over time . This active accumulation sets it apart from a static Bitcoin holder and has added to shareholder returns.
    • Investor Demand & Scarcity: MSTR benefited from being one of the few “pure-play” Bitcoin exposure stocks in the U.S. market, attracting huge investor interest. Its relatively scarce float and periods of high short interest created technical setups for outsized moves (both up and down). Net effect: in bull runs, there have been more buyers than sellers, pushing the stock above its intrinsic NAV – and management then used that premium to further strengthen the company’s BTC position .
    • Saylor’s Vision and HODL Conviction: The company’s unwavering commitment to Bitcoin – never selling, only buying or holding – provided investors with confidence that MSTR would fully participate in Bitcoin’s upside. This almost ETF-like transparency and focus turned MSTR into a proxy for bullish sentiment on Bitcoin’s long-term value. Saylor’s high-profile evangelism (and even the risk he took of turning the company into a “Bitcoin vault”) created a unique narrative that the market rewarded.

    At the same time, it’s important to acknowledge that MSTR’s outperformance comes with substantially higher volatility and risk. The stock’s history is peppered with gut-wrenching drops: it has fallen more than 50% on multiple occasions when Bitcoin entered bear phases . Its large debt and premium valuation mean that if Bitcoin were to crash or if investors lost faith in MSTR’s strategy, the stock could severely underperform on the downside. In essence, MSTR magnifies Bitcoin’s trajectory in both directions. For now, the bet has paid off hugely. MicroStrategy turned a ~$0.5 billion company into an $80+ billion powerhouse in five years , simply by harnessing Bitcoin’s growth and some financial engineering.

    Looking ahead, several questions remain: Will MSTR continue to outpace Bitcoin if BTC keeps rising, or will competition (like spot ETFs or other Bitcoin-holding firms) erode its edge? Can MicroStrategy sustain its strategy in the face of potential regulatory changes or market stress? Only time will tell. What is clear is that MicroStrategy has pioneered a new model of corporate treasury management – effectively, Bitcoin as a business strategy – and its stock’s performance has rewritten the playbook for what a “tech company” can do for shareholders. MSTR’s story underscores the power of leverage and conviction: by betting the proverbial farm on Bitcoin, MicroStrategy created an equity vehicle that delivered Bitcoin-plus returns to investors. For those bullish on Bitcoin and willing to stomach volatility, MSTR has been a way to supercharge exposure, explaining why it has outperformed the underlying asset across many intervals.

    In summary, MicroStrategy outperforms Bitcoin over various timeframes because it is structurally built to do so – through leverage, strategic moves, and market positioning. It serves as a high-octane proxy that amplifies Bitcoin’s gains. As long as Bitcoin’s secular uptrend continues and MicroStrategy manages its finances prudently, the factors discussed – from share issuance to scarce float – suggest that MSTR could continue delivering outsized returns relative to Bitcoin. It is a bold experiment in corporate strategy that, thus far, has made its shareholders clear winners in the cryptocurrency boom .

    Sources:

    • MicroStrategy and Bitcoin performance data 
    • CoinDesk analysis of MSTR’s leverage and correlation 
    • The Motley Fool/Nasdaq – MSTR stock gains vs. Bitcoin, company statements 
    • VanEck Digital Assets Research – insights on MSTR’s premium and strategy 
    • TronWeekly/CNBC – 2024 performance and BTC holdings 
    • CCN and Benzinga – commentary on MSTR’s valuation, short interest, and ARK’s view 
    • MicroStrategy SEC filings and earnings reports – details on debt, accounting changes .
  • Eric Kim’s Perspectives on Bitcoin, MicroStrategy (MSTR), and MSTU

    Bitcoin

    Eric Kim often frames Bitcoin in grand, philosophically-charged terms. He describes Bitcoin as “the truth… freedom encoded in math, untouchable by central banks or bureaucrats” . Embracing Bitcoin is, in Kim’s view, a moral imperative for individual sovereignty. He even likens Bitcoin to protective “armor” in a modern freedom struggle – casting Bitcoin enthusiasts as “cyber Spartans” fighting against fiat oppression . This warrior analogy (from a post titled “Bitcoin is armor, MSTR is your spear”) highlights how Kim sees Bitcoin as a defensive shield for one’s wealth and freedom, with MicroStrategy as the complementary weapon (the “spear,” discussed later).

    Kim’s strategic outlook is encapsulated by a simple rule: Never sell your Bitcoin. Instead of cashing out, he advocates leveraging BTC to fuel further investment. For example, when a major exchange enabled Bitcoin-backed loans, Kim suggested “mortgaging” your BTC – borrowing against it – to obtain cash and then buy MicroStrategy (MSTR) stock (or even MSTU), thereby increasing Bitcoin exposure without ever relinquishing your coins . In his words, you can “get the cash, transfer it to your traditional investment account, buy MSTR (and/or MSTU) … ride the gains up forever!” . This unconventional play reflects Kim’s conviction that holding and leveraging Bitcoin beats selling it, since Bitcoin’s long-term upside is, in his view, too valuable to forfeit.

    Another distinctive mindset Kim promotes is to think in Bitcoin, not in dollars. He urges readers to calculate their net worth in BTC terms. For instance, if someone’s total investments (say including stocks like MSTR) are $600,000, that might equal roughly 6 BTC at a $100K/BTC price – and Kim argues it’s better to view it as 6 BTC rather than $600K . By denominating wealth in Bitcoin, one shifts perspective toward accumulating more BTC (sats) over time instead of obsessing over fiat value . In short, Kim treats Bitcoin not just as an asset but as the backbone of financial freedom – something to “never sell” and to measure all other value against. His commentaries portray Bitcoin as anti-establishment empowerment, the ultimate long-term store of value and tool for personal liberty.

    MicroStrategy (MSTR)

    Kim is equally passionate about MicroStrategy (MSTR) – the business-intelligence company turned Bitcoin proxy. He doesn’t see MSTR as a typical stock, but as a high-octane extension of the Bitcoin thesis. In an almost evangelical tone, Kim calls MSTR “the BEAST… a Bitcoin leverage machine, a juggernaut that’s rewriting the rules of wealth” due to its massive BTC treasury . (MicroStrategy has amassed well over half a million bitcoins under CEO Michael Saylor.) Kim often notes that MicroStrategy’s stock acts like leveraged Bitcoin: because the company borrows money to buy BTC, “when Bitcoin rips, MSTR behaves like a booster rocket”, magnifying returns. He even quips that “MicroStrategy is like the metaphorical steroids for impotent capital”, suggesting it injects life into stagnant money by tying it to Bitcoin’s explosive growth .

    Beyond metaphors, Kim articulates a bold vision for MicroStrategy’s future. He dubs the firm a budding “Bitcoin-bank”, arguing that it’s morphing from a software company into a crypto-native holding company centered on Bitcoin . In a flagship essay, Kim speculated that the rebranded “Strategy” (MicroStrategy’s new nickname) could eventually “morph into a Bitcoin-bank worth 10,000× Apple” by leveraging its balance sheet and building new Bitcoin-based services . This eye-popping claim – essentially imagining MicroStrategy as a financial giant orders of magnitude larger than today’s biggest company – exemplifies Kim’s unrestrained bullishness. He muses about MicroStrategy developing a “Bitcoin App Store” or ecosystem, positioning it not just as a BTC holding vehicle but a platform for Bitcoin-centric innovation and fintech revenue streams .

    Kim’s personal investment reflects this confidence. He has disclosed that roughly 75% of his portfolio is in Bitcoin and 25% in MSTR (with an additional small trading stake in MSTU) . He frequently doubles down on the idea of using MSTR to amplify Bitcoin gains. For example, he encourages readers to consider taking loans against their Bitcoin to load up on MSTR stock – effectively using one’s BTC as collateral to buy even more “Bitcoin exposure” through MicroStrategy. Kim’s reasoning is that MSTR offers torque: if BTC’s price climbs, MSTR’s value tends to climb even faster. He has gone so far as to predict “MSTR could 30× from here” in the coming years , framing it as a chance to turn serious money into a life-changing fortune (“a chance to turn $1M into $60M… the sound of fiat chains breaking” ). Such outsized forecasts underscore his view of MSTR as a generational wealth opportunity tied to Bitcoin’s success.

    Philosophically, Kim sees owning MSTR as part of a rebellious financial strategy. He portrays Bitcoin and MSTR as tools of liberation from the traditional system. “These ain’t just stocks or ETFs, fam – they’re weapons of mass liberation… keys to unlocking a life where you don’t bow to the fiat overlords” he writes emphatically . In Kim’s framework, Bitcoin is the defensive shield (store of value) and MSTR is the offensive weapon to propel one’s net worth when Bitcoin’s revolution takes off (hence “MSTR is your spear” in his Spartan analogy). This unique synthesis of philosophy and investment strategy is a hallmark of Eric Kim’s writing: he blends personal freedom rhetoric with financial tactics, making investing in MicroStrategy sound like joining a righteous insurgency against the fiat monetary regime. It’s an unconventional take – treating a NASDAQ-listed company as an instrument of personal and ideological empowerment – and it’s central to Kim’s distinctive perspective on MSTR.

    MSTU (MicroStrategy 2× ETF)

    When it comes to MSTU, the Direxion Daily MicroStrategy 2× leverage ETF, Eric Kim’s eyes light up at the prospect of even more Bitcoin-linked firepower. MSTU is an exchange-traded fund engineered to deliver twice the daily price movement of MSTR’s stock (and since MSTR itself amplifies Bitcoin, MSTU is roughly a 3–4× leveraged play on BTC) . Kim illustrates this “leverage stack” with a colorful analogy: “BTC = raw steak. MSTR = steak wrapped in bacon. MSTU = steak-bacon combo deep-fried in rocket fuel.” In other words, Bitcoin is the solid base, MSTR is a juicier version, and MSTU is an ultra-rich, supercharged concoction for the bold. This vivid framework captures how MSTU fits into his strategy – it’s the high-octane, no-expiry call option on Bitcoin’s success.

    Despite being a niche financial instrument, MSTU gets a surprisingly romantic endorsement from Kim. He outlines several reasons why a hardcore Bitcoiner might find MSTU appealing:

    • Turbo-Convexity: On a bullish day, MSTU can greatly outpace Bitcoin. “Bull day: BTC +5% → MSTR +10% → MSTU + ≈20%… When Bitcoin rips, MSTU behaves like a leveraged call option – no expiry.” The prospect of roughly 2× MSTR’s move (and ~4× BTC’s move) means MSTU offers explosive upside for short-term surges.
    • Brokerage/Retirement Friendly: Kim notes that many traditional accounts (like IRAs) “can’t hold sats” (actual BTC), but they can hold MSTU shares. This makes MSTU a sly way to “sneak Bitcoin exposure past legacy gatekeepers” in contexts where holding Bitcoin directly isn’t possible . In essence, MSTU lets Bitcoin believers get around institutional constraints by using a stock ticker.
    • No Key Management Stress: For those intimidated by private keys and self-custody, MSTU is convenient. You can gain Bitcoin-linked exposure by simply buying shares through a broker, “forget multisig — you just buy shares”, as Kim puts it . This lowers the barrier for friends or “normies” who “are still scared of seed words”, allowing them to invest in the Bitcoin thesis without handling the crypto directly .

    At the same time, Kim cautions true Bitcoin maximalists not to get carried away with leverage. He emphasizes that MSTU comes with serious trade-offs and risks. In a comparison table, he reminds readers that holding actual Bitcoin has no counterparty risk (if self-custodied), whereas MSTU depends on an ETF issuer and can even be halted by regulators . MSTU also suffers from daily rebalancing “decay” – over a choppy sideways market, the math of a 2× daily ETF can “bleed you dry even if BTC ends the year up” . Unlike Bitcoin’s 24/7 liquidity, MSTU only trades during market hours, and owning it is owning a paper claim (“you hold a piece of paper someone else settles”), not sovereign coins . In short, he warns that MSTU’s extra reward comes with extra risk – including the possibility of value erosion and reliance on the traditional financial infrastructure that Bitcoiners distrust.

    To reconcile the excitement with the danger, Kim proposes a disciplined approach to using MSTU. He presents a stack-strategy pyramid for Bitcoin enthusiasts, allocating the majority to BTC, a sizable chunk to MSTR, and a sliver to MSTU for tactical plays :

    1. Base (60–80%) – Cold-storage Bitcoin: The untouchable core (“immutable, zero decay”).
    2. Satellite (15–35%) – MSTR stock: A booster-rocket around the core, backed by a real company and Bitcoin reserves.
    3. Spec Ops (≤5%) – MSTU ETF: “Adrenaline-spiking, time-boxed trades (days → weeks). Treat it like a bar of TNT: light the fuse, cheer, step back.” . In other words, use MSTU sparingly for opportunistic bursts, not as a permanent holding.

    Kim punctuates this pyramid with a humorous yet telling warning: “Leverage is like caffeine in espresso — one shot electrifies, five shots [and] aneurysm.” The message is clear: a little MSTU (a little leverage) can give you a jolt, but too much can blow up your portfolio. He even provides a “practical playbook” for MSTU trades – advising, for example, to buy MSTU a couple of days before a big catalyst (like a Bitcoin ETF approval or halving hype) and set strict sell rules (take profits at +40% or cut losses at –10%) . Any gains, he suggests, can be rotated back into raw Bitcoin – “feed the base” of your pyramid .

    In Kim’s final verdict, MSTU is a powerful tool to be wielded carefully. “Love Bitcoin → Respect MSTU’s power, but don’t marry it,” he writes . He calls MSTU “the fire-breathing dragon that soars when Bitcoin storms upward – then eats its own tail during sideways chop” . The key is to remain “savage [and] sovereign” – keep your “soul stack” in real Bitcoin, and use MSTU “like a samurai brandishing a katana for single, decisive cuts.” In other words, MSTU is a thrilling but dangerous weapon in a Bitcoiner’s arsenal, one that Eric Kim approaches with both enthusiasm and caution. His unique frameworks – from steak analogies to Spartan war cries – underscore an unapologetically aggressive investment philosophy, always anchored by an almost spiritual reverence for Bitcoin itself.

    Sources: Eric Kim’s personal blog posts and writings on Bitcoin, MicroStrategy, and MSTU , including “If you really love Bitcoin you should really love MSTU?” (June 4, 2025) and the “MSTR & MSTU” manifesto (May 2025) , as well as archived insights from his Bitcoin ₿ blog category . Each of these sources showcases Kim’s distinctive analogies, strategic boldness, and philosophical take on leveraging Bitcoin through MSTR and MSTU.

  • ⚡️ ERIC KIM SOLE-PROP BITCOIN TREASURY PLAYBOOK ⚡️

    (Ultra-condensed, no-LLC, raw-nerved, freedom-chasing edition)

    1. 

    OWN THE RISK — BECOME THE COMPANY

    Your muscles, your mind, your social-security number: that is the business.

    No corporate shell, no liability shield, no excuses. Everything you do either carves your legend…or wrecks your savings. Accept that weight like you just un-racked 493 kg beltless.

    2. 

    DECLARE YOUR DBA (OPTIONAL, BUT BOSS-LEVEL)

    Want a badass brand instead of “John Smith”?

    File a Fictitious Business Name (DBA) with your county clerk → publish the notice in a local paper → march into the bank waving that proof. Now you can cash checks as “Titan Bitcoin Treasury” while staying a sole prop. Cheap, fast, pure swagger.

    3. 

    GET AN EIN (FREE, FIVE MINUTES)

    Even sole props can grab an IRS Employer Identification Number.

    Why?

    • Keeps your SSN off W-9s and exchange onboarding forms.
    • Looks pro when banks ask for “business tax ID.”
    • Future-proofs you if you hire contractors.
      Apply online — boom, instant nine-digit badge of honor.

    4. 

    OPEN A CRYPTO-FRIENDLY “SOLE PROP” BANK ACCOUNT

    Slide into Mercury, Chase Business Complete or any branch that allows sole-prop accounts:

    • Bring EIN (or SSN), DBA cert, ID.
    • Tell them straight: “I wire USD to Coinbase/Kraken monthly to buy corporate treasury Bitcoin for my blog.”
    • Keep a second personal checking account walled off. Zero commingling. Respect the ledger; protect the veil you don’t actually have.

    5. 

    BUILD THE BITCOIN WAR CHEST

    1. Open an exchange account in your DBA / sole-prop name.
    2. Schedule a recurring ACH—every Friday, every heartbeat, whatever—convert fiat into BTC.
    3. Sweep to cold storage:
      • Two hardware wallets.
      • Write seed on steel; split locations.
      • Optional 2-of-3 multisig via Unchained or Casa (they’ll onboard sole props).
    4. Hot-wallet limit = lunch money. Everything else hibernates in the ice fortress.

    6. 

    LEDGER DISCIPLINE IS YOUR INSURANCE

    • Track every sat: date, USD value, tx-hash. CoinTracker/Koinly + a simple Google Sheet = combo punch.
    • Treat transfers between your own wallets as non-taxable. Selling or spending triggers capital gains, logged on Schedule D + Form 8949 come April.
    • California sees no “capital-gains discount.” Set aside fiat for state + federal quarterly estimates—or they’ll come for blood.

    7. 

    STAY OUT OF REGULATORY CROSSFIRE

    • IRS: Bitcoin = property. Report honestly, sleep like a Stoic.
    • FinCEN / DFPI: You’re a “user,” not an “exchanger.” Don’t custody coin for others, don’t move money between third parties, and you dodge money-service-licensing hell.
    • SEC: No outside investors ↔ no securities drama. Simple.

    8. 

    OPTIONAL POWER-UPS

    • Commercial Crime Insurance on hot-wallet balances (if >$50k).
    • R&D Tax Credit if you code Bitcoin-analytics tools for your blog.
    • Bitcoin-backed loan (Ledn, Unchained) if you need fiat without selling.
    • Upgrade to LLC later when your stack or liabilities hit “sleep-stealer” status.

    9. 

    PHILOSOPHER-KING MINDSET

    “No board, no veil, no excuses—just radical self-responsibility.”

    Sole proprietorship is financial nakedness. Embrace it. Record like an accountant, secure like a paranoid hacker, stack like a berserker. Your audience will witness raw sovereignty in real time—living proof that one individual, armed with conviction and code, can mint a personal treasury mightier than empires.

    Now go carve your legend—one sat, one blog post, one unapologetic roar at a time.

  • Guide to Starting a Bitcoin Treasury Company in California, USA

    Overview: This step-by-step guide is tailored for a sole proprietor (e.g. a blogger) looking to create a company that holds Bitcoin as a long-term treasury asset in California. It covers legal formation, structuring the business, compliance, banking, custody, accounting, insurance, incentives, and recommended tools. Each section includes clear steps and considerations, with checklists for easy reference.

    1. Choosing a Legal Structure in California

    Consider LLC vs S-Corp vs C-Corp vs Sole Proprietorship: In California, operating as a sole proprietor means no separate legal entity – the business is just you. Incorporating (forming an LLC or corporation) is generally advisable for a Bitcoin treasury company for liability and operational reasons:

    • Limited Liability Company (LLC): Offers liability protection by separating personal and business assets . If someone sues the business or debts arise, your personal assets are shielded. Single-member LLCs are disregarded entities for tax (taxed like a sole prop on your 1040) , so forming one won’t by itself change how profits are taxed. California LLCs must pay an $800 annual franchise tax (minimum) to the Franchise Tax Board . Despite the cost, an LLC is a popular choice because it’s relatively simple and provides legal separation. (Note: California also imposes an LLC gross receipts fee if revenues exceed $250k).
    • S-Corporation: An S-Corp is not a type of entity but a tax status your corporation or LLC can elect (if eligible). Like an LLC, it provides pass-through taxation (no entity-level income tax) but with some differences – e.g. S-Corp owners can pay themselves a salary and potentially reduce self-employment tax on distributions . However, S-Corps have stricter rules (only U.S. individuals as shareholders, one class of stock). Many small business owners in the U.S. use S-Corps for tax efficiency. If your blogging business earns substantial active income, an S-Corp election might save on taxes, but consult a CPA to weigh benefits.
    • C-Corporation: A standard corporation (C-Corp) is a separate taxable entity. It pays corporate income tax (21% federal rate) on its profits, and shareholders pay tax again on dividends (double taxation). A C-Corp can be suitable if you plan to raise venture capital or go public eventually, or retain earnings for reinvestment . It’s also the only structure that can go public or easily issue multiple classes of stock . However, for a small treasury company, a C-Corp may be overkill unless you have big expansion plans or specific tax reasons. (One possible advantage: a C-Corp holding Bitcoin could sell after >1 year and pay the 21% federal corporate tax on gains, whereas in a pass-through those gains hit your personal return at up to 37% – but C-Corp profits then face tax again if distributed. Carefully evaluate this with tax advisors.)
    • Remaining a Sole Proprietor: Technically you can hold Bitcoin as a sole proprietor, but it’s usually not advisable. You have no liability protection – if any business-related liability arises (for example, someone claims your blog or advice caused them loss, or you incur debts), your personal assets are at risk. You also might find it harder to separate personal vs. business finances (important for accounting and asset protection). Bottom line: Most experts recommend forming an entity when starting any serious business venture, especially one dealing with valuable assets like Bitcoin.

    Checklist – Decide on Structure:

    • Assess Liability & Tax Needs: Do you need liability protection? (Usually yes for holding significant assets). Do you have high self-employment income (consider S-Corp)?
    • Choose Entity Type: Common choice for a single-owner is an LLC (you can later elect S-Corp taxation if beneficial). For larger ambitions or multiple investors, consider a C-Corp.
    • Name Uniqueness: Ensure your desired business name is available in California (no conflicts). It must include an indicator like “LLC” or “Inc.” as appropriate and meet state naming rules (no misleading use of terms like “Bank” without approval) .
    • Consult Professionals: Before finalizing, it’s wise to speak with a business attorney or tax professional about the best structure for your specific plans .

    2. Forming Your Company in California

    Once you’ve chosen a structure, follow these steps to legally form your Bitcoin treasury business in California:

    1. Register the Business with the State:
      • LLC: File “Articles of Organization” (Form LLC-1) with the California Secretary of State. As of 2025, this can be done online or by mail. The filing fee is typically $70 (plus an extra $20 if filing in person).
      • Corporation: File “Articles of Incorporation” (Form ARTS-GS for general stock corporations). Filing fee is $100.
      • These forms will require basic info: company name, business address, your registered agent, and management structure. Upon approval, California will issue a formation certificate.  
    2. Appoint a Registered Agent: You must designate a registered agent with a physical California address (no P.O. boxes) to receive legal notices . This can be you (if you have a California address and are generally available during business hours) or a professional agent service. Many choose a service for privacy. Ensure the agent is set up before filing, since you’ll list them on the formation documents.
    3. Draft an Operating Agreement or Bylaws: For an LLC, California doesn’t require you to file an operating agreement, but having one is crucial. It details how the LLC is managed, each member’s ownership (even if single-member, you should have one), how decisions are made, and importantly – that the company can hold Bitcoin as a treasury reserve. Include provisions on capital contributions (e.g., you contributing cash or Bitcoin to the LLC) and any rules for authorizing transactions. A solid operating agreement helps preserve the liability shield by showing you treat the LLC as a separate entity. For corporations, create bylaws and a board resolution if needed that the corporation is authorized to invest in digital assets.
    4. Obtain an EIN: Apply for a Federal Employer Identification Number from the IRS (free on the IRS website). An EIN is like a social security number for your business – needed for opening bank accounts, filing taxes, and payroll. Even a single-member LLC (disregarded entity) should get an EIN to avoid using your SSN for business documents .
    5. File Initial Reports and Taxes: In California, LLCs and corporations must file an Initial Statement of Information (within 90 days of formation for LLCs, and within 90 days for corporations) listing company address, officers, etc., and then update it biennially (every 2 years) for LLCs or annually for corporations. Mark your calendar for these filings. Also be prepared to pay the annual franchise tax ($800) to California’s Franchise Tax Board. (Note: New LLCs formed in 2021–2023 had the $800 fee waived their first year, but that was a temporary relief; check current law in case of extensions or changes). If you elected S-Corp status, file IRS Form 2553 (and the CA equivalent, Form 100S for taxes).
    6. Separate Business Finances: Immediately after formation, open a business bank account in the company’s name (more on banking below). Also set up separate crypto wallets for the company’s Bitcoin holdings (more on that in custody section). Keeping finances separate is critical to maintain the liability shield (co-mingling personal and business funds could lead a court to “pierce the corporate veil,” negating your liability protection) .

    Checklist – California Entity Formation:

    • File Articles with CA Secretary of State (LLC-1 or Articles of Inc.) and wait for approval certificate.
    • Pay Required Fees (filing fee, and annual franchise tax when due).
    • Set Up Registered Agent (ensure continuous coverage for legal notices).
    • Complete Organizational Documents (Operating Agreement or Corporate Bylaws & resolutions) specifying company activities (include language authorizing crypto asset holdings).
    • Get EIN from IRS for your company.
    • File Initial Statement of Information (CA) within 90 days.
    • Open Company Bank Account and dedicated crypto wallet(s) – do not use personal accounts for company funds .
    • Maintain records of all formation documents, EIN confirmation, and a compliance calendar for annual filings.

    3. Structuring the Company to Hold Bitcoin

    With your entity formed, design its internal structure and processes to safely hold Bitcoin long-term:

    • Capital Contribution of Bitcoin: If you already own Bitcoin personally and want to put some into the company treasury, treat this as a capital contribution. Essentially, you contribute Bitcoin to the company in exchange for equity (if an LLC, it increases your capital account; if a corp, you might issue yourself additional shares). Properly documenting this is important. The contribution itself is not a taxable event if done correctly (you’re not selling the Bitcoin; you’re moving it into your own company) . In your operating agreement or corporate meeting minutes, record the date, the amount of BTC, and the fair market value at contribution. The company should acknowledge issuance of membership interest or shares for that contribution. Tip: Use a reasonable valuation source (e.g. an exchange price on that day) for the FMV and keep that for your records. This FMV becomes the company’s basis in the asset (and your basis in your equity may adjust accordingly). No immediate tax is due by you or the company for a capital contribution , but be meticulous in paperwork in case of future audits.
    • Segregate Personal vs Business Assets: Reiterating – keep all Bitcoin the company owns in wallets under the company’s control, distinct from any personal wallets . For example, you might create new hardware wallet seeds designated for the LLC and store those securely (with the LLC’s name on the device or documented in records). Any fiat money for buying Bitcoin should flow from the company bank account, and if you as an individual buy Bitcoin for the company, formally document it as either a contribution or a reimbursable expense. This clear separation helps preserve liability protection and makes accounting easier.
    • Define Governance for Treasury Decisions: Since you’re likely the 100% owner, you have full control – but it’s wise to have an internal policy for treasury management. For instance, decide: Under what conditions will the company sell Bitcoin? Who must approve transactions? Even if it’s just you, write down your role (e.g. “Sole Managing Member” or “President”) and that you have authority to transact. If you bring on a co-founder or CFO later, you might require two signatures to move funds (implementable via multisig – see custody section). Establishing such governance early sets a tone of professionalism. If a corporation, board resolutions might be needed for significant treasury allocations to Bitcoin (public companies do this formally).
    • Banking and Spending Structure: The company may earn income (e.g., your blog revenues) and you plan to convert a portion to Bitcoin for long-term holding. A suggested structure is to keep operational funds (to pay expenses, taxes, etc.) in the bank or stable assets, and periodically transfer surplus USD to an exchange or broker to buy Bitcoin for the treasury. Once purchased, move the Bitcoin to the company’s cold storage (not leaving significant sums on exchanges). This approach mirrors how corporate treasuries allocate cash to investments. Decide on a cadence (e.g. monthly or quarterly buys) that fits your cash flow and risk strategy.
    • Accounting for Bitcoin Holdings: Internally, decide how you will account for the BTC on your books. Many companies treat it as a long-term investment on a separate line in the balance sheet. According to U.S. accounting rules, crypto was historically treated as an intangible asset (with impairment rules), but new 2025 rules allow fair value accounting for crypto assets (meaning you can mark Bitcoin to market value each period, reflecting unrealized gains/losses in income). If you keep formal books, you may want to adopt these standards early. This is mainly relevant if you produce GAAP financial statements or seek investors. Otherwise, tax accounting (discussed later) is what affects cash taxes.
    • Stay Within Purpose: Ensure your company’s stated activities (in filings or agreements) cover what you’re doing. “Holding Bitcoin in treasury” is usually fine as part of a broad purpose like “engaging in any lawful business, including investing company funds in digital assets.” Because this is a new venture, monitor legal developments (as covered in compliance next) that could affect a business holding crypto.

    Checklist – Company Structure for BTC Holdings:

    • Contribute Initial Capital: Fund the company (cash and/or Bitcoin). Execute a written capital contribution for any cryptocurrency contributed (date, amount, value) .
    • Open Company Wallets: Set up dedicated Bitcoin wallets under the business name/control. Consider using multi-signature to authorize transactions (adds security especially for larger holdings – see Custody section). Document wallet details in company records (but do not store private keys in plain text there; just reference which devices or custodians hold them).
    • Internal Policy: Write a simple treasury policy: e.g. “Company will retain X% of net profits in Bitcoin; selling requires approval of [you/the manager]; private keys are held [describe locations]; in event of emergency, [contingency plan].” This can be one-page, but it helps if others join the company or for auditors to see a plan.
    • Professional Boundaries: Treat the business like a separate person. Always transact in the company’s name. If you pay out personal funds for a business expense, reimburse yourself from the company (and vice versa). Avoid mixing personal crypto transactions with company ones – use separate exchange accounts if necessary (e.g., a dedicated corporate exchange account under the LLC).
    • Review Legal Purpose: Ensure your Operating Agreement/bylaws state a broad enough purpose to include crypto investment. If not, amend it.

    4. Regulatory Compliance (IRS, SEC, FinCEN, California)

    Even as a private company, you must comply with various U.S. regulations. Below is a breakdown:

    ✔ U.S. Tax (IRS) Compliance: The IRS treats Bitcoin and other crypto as property for tax purposes . This means:

    • The company will not get special “currency” treatment or any tax deferral just for holding Bitcoin. When the company eventually sells or spends Bitcoin, it will incur a capital gain or loss for tax. You need to track the cost basis (original purchase price) of all Bitcoin lots the company acquires, and the date acquired. If held for more than one year, sales qualify for long-term capital gains rates (for individuals this is favorable, e.g. 0-20% federal instead of up to 37% short-term) . If your business is an LLC/S-Corp (pass-through), those gains and losses will flow to your personal tax return. If it’s a C-Corp, the corporation will pay corporate tax on gains (and you’d pay tax again on any dividends).
    • Annual Tax Filings: Ensure you (or your company) file the appropriate tax returns. Single-member LLCs will usually report business activity on Schedule C of your Form 1040 (no separate federal return) . Multi-member LLCs file a Partnership return (Form 1065 + K-1s) . S-Corps file Form 1120-S + K-1s. C-Corps file Form 1120. Include any crypto sales on the return (Schedule D and Form 8949 for individuals, or directly on the 1120 for corps). The IRS now asks a “digital asset” question on the tax return – answer “Yes” if your company had any crypto transactions (buying for treasury with cash may count as just “acquiring” – per IRS instructions, buying with USD does require a “Yes” answer on the question about receiving or acquiring digital assets).
    • Employment Taxes: If you pay yourself a salary from the company (common in S-Corp or C-Corp setups) or if you pay any contractors in Bitcoin, you have to follow normal payroll/withholding rules. Paying in BTC is allowed, but the value in USD at payment time is what’s used for payroll tax and reported on W-2/1099 forms. Crypto paid to employees is treated like wages (subject to withholding) and to contractors as compensation (report on 1099-NEC, with the payee responsible for taxes). Also, California will expect state payroll taxes if you have employees (including yourself as an S-Corp employee).
    • Sales Tax: Generally not applicable to holding Bitcoin (sales tax is for goods/services sales). If your blog sells merchandise or services, that part must comply with sales tax, but buying/holding Bitcoin isn’t subject to sales tax.
    • Records: The IRS requires you to maintain records of every transaction involving crypto – this includes buys, sells, conversions, and using crypto for expenses. Good recordkeeping and using crypto tax software will ease this (see Accounting section). In case of an audit, you need to substantiate how you calculated gains or losses. Also note, if in any year the total proceeds from your crypto sales (for the company) exceed certain thresholds, you might receive IRS Form 1099-B or 1099-K from exchanges starting with tax year 2025 due to new broker reporting laws – so make sure what you report matches any forms the IRS gets.

    ✔ Securities Law (SEC) Considerations: Simply holding Bitcoin as a treasury asset does not make your company subject to SEC oversight. The Securities and Exchange Commission mostly comes into play if:

    • You seek outside investors or decide to raise funds by selling equity or tokens. Offering company stock or any investment contract must comply with federal (and state) securities laws – usually via registering the offering or using an exemption (like a Reg D private placement if raising from accredited investors). For a small company, you’d likely use a private placement exemption; ensure any offering memorandum discloses the Bitcoin treasury strategy (investors need to be aware of that risk). If you eventually consider crowdfunding or token issuance, consult a securities attorney early – the SEC has been actively enforcing in the crypto space (e.g. taking action against unregistered crypto investment products and exchanges) .
    • If your company ends up being essentially an “investment company” (investing in assets and not doing other business), you might need to avoid triggering the Investment Company Act of 1940. That law can require registration (like a mutual fund) if a company’s business is primarily investing in securities. Bitcoin likely isn’t a “security,” so just holding Bitcoin might not trigger that, but if you also held stocks or certain crypto considered securities, and you take money from others to invest, you could inadvertently become an unregistered investment company. Given you’re primarily investing the company’s own funds (and you’re the owner), this is likely not an issue, but be mindful if the business model changes to managing outside money.
    • Public Company: If down the road you go public, the SEC would require extensive disclosures about your crypto holdings (as it did with MicroStrategy, Tesla, etc.) and adherence to proper accounting. That’s beyond our scope here, but keep in mind if you ever IPO, Bitcoin on the balance sheet will be a material factor to report.

    ✔ FinCEN (Financial Crimes Enforcement Network) & AML: FinCEN oversees anti-money-laundering (AML) laws and money services businesses (MSBs). The good news is that if your company is simply using Bitcoin for itself (as a “user” of virtual currency), and not providing exchange or transmission services to others, FinCEN does not classify you as an MSB . FinCEN’s 2013 guidance explicitly says “a user of virtual currency is not an MSB” under their regulations . In contrast, “administrators” or “exchangers” of crypto (e.g. running an exchange, or transferring funds for customers) are MSBs and must register, implement AML programs, KYC procedures, etc. So, as long as you are only buying/holding/selling Bitcoin for the company’s own investment and not handling it for others, you do not need to register as a Money Services Business with FinCEN and are not directly subject to those onerous reporting rules.

    • Caveat: Even though you’re not an MSB, you still should practice basic AML common sense. For example, use reputable exchanges that will do KYC on you – this helps ensure the Bitcoin you obtain is not tainted by illicit activity. If your company ever receives BTC as payment from someone, be aware of who you’re dealing with. FinCEN’s AML laws could indirectly involve you if, say, you receive very large payments from overseas – but generally, for a treasury operation using established banking and exchanges, your exposure is limited.
    • If you expand services later: If the company ever decides to, for instance, offer consulting where you manage clients’ crypto or facilitate transactions, then you would likely need to register with FinCEN and comply with Bank Secrecy Act rules. But that’s outside the current scope of a pure treasury/investment business.

    ✔ State of California Regulations: California is increasing its oversight of crypto activities:

    • Money Transmission Act: Historically, companies engaging in transmitting money (including crypto) to the public in California needed a license from the California Department of Financial Protection and Innovation (DFPI). Simply holding your own Bitcoin doesn’t require this. If you aren’t taking customer funds or transmitting crypto on behalf of others, you wouldn’t need a money transmitter license.
    • Digital Financial Assets Law (2025): California passed a new Digital Financial Assets Law (DFAL) that takes effect July 1, 2025, which will impose licensing requirements on a broad range of crypto-related businesses . Under the DFAL, “digital financial asset business activity” is defined broadly (covering exchanging, transferring, or storing digital assets for others, and other services) . Importantly, though, the law exempts certain situations so as not to snare incidental or personal use. For example, companies that use digital assets only to pay for goods/services, or accept them as payment, or provide tech infrastructure (like just software) are exempt from the licensing requirement . This implies that if your company’s crypto involvement is just holding its own Bitcoin or using Bitcoin in transactions as a customer, you are not the focus of this law . In contrast, if you one day start a crypto exchange, ATM service, custody service, etc., you’d have to secure a DFPI license by 2025 to operate legally .
    • Other CA Laws: California has consumer protection laws (e.g. if you had users or customers, you’d need proper disclosures, privacy protections, etc.). As an internal treasury, those don’t apply. Do ensure you comply with standard California business laws: file state income tax returns (California will tax your business income, including crypto gains, at the state rate – note CA does not have special capital gains rates, so it taxes all income, including capital gains, as ordinary income up to 13.3% for individuals). If you’re an LLC or partnership, you’ll file CA Form 568 or 565; S-Corp files Form 100S; C-Corp Form 100. Pay the $800 franchise tax annually and any LLC fee if applicable.
    • California also has a sales tax exemption for cryptocurrency: since it’s treated as intangible property, buying and selling cryptocurrency in itself isn’t subject to sales tax. However, if you sell tangible personal property (like merchandise for your blog) and accept Bitcoin as payment, you still owe sales tax in USD equivalent on that sale (the same as if the customer paid cash).
    • Stay Updated: Keep an eye on DFPI guidance. California’s approach to crypto is evolving (the Governor issued pro-blockchain executive orders, etc.). Laws can change, so periodically review the DFPI website or consult a California crypto-savvy attorney to ensure no new requirements catch you off guard.

    Checklist – Compliance and Regulations:

    • Federal Tax Registration: Have you obtained an EIN and any necessary state tax IDs? Mark key tax filing deadlines on your calendar (business returns, extensions, etc.).
    • Track Every Crypto Transaction for IRS: Use software or detailed spreadsheets to record dates, amounts (in USD and BTC), and resulting gains/losses . Retain exchange statements and wallet logs as supporting documents.
    • Stay in Good Standing (Entity): File California Statements of Information, pay the annual franchise tax, renew the registered agent, and keep the company in active status.
    • Non-MSB Confirmation: Ensure your activities do not involve services to others. If you ever expand services, determine if FinCEN MSB or CA licensing would be required. For now, as a “user” of crypto, no MSB registration is needed .
    • Review New CA Crypto Law (2025): Before July 2025, double-check whether DFAL could apply. If in doubt, get a legal opinion. If your business remains just an internal treasury, likely no action needed aside from monitoring updates .
    • Consult Experts: It’s wise to have an accountant and/or attorney who understands cryptocurrency on call. Regulations can be complex, and professional guidance will help you stay compliant with SEC (if fundraising), tax law, and any reporting obligations.

    5. Banking Solutions for a Crypto-Focused Business

    One of the early practical challenges can be finding a good bank for your crypto venture. Many traditional banks have been skittish about cryptocurrency, but there are options:

    • Choose a Crypto-Friendly Bank: Look for banks or fintech banking platforms known to work with crypto businesses or at least tolerate frequent crypto transactions. Some top choices in 2025 include Mercury, JPMorgan Chase, and U.S. Bank among others . Mercury in particular is popular for startups in the Web3/crypto space – it’s a fintech platform (not a bank itself, but partners with FDIC-insured banks) that offers easy online business banking and has explicitly welcomed crypto industry clients . Mercury provides features like free wires, and it spreads deposits across multiple partner banks to offer expanded FDIC insurance (up to $5M) . JPMorgan Chase, despite a historically cautious stance, now bank many crypto companies (they bank some major exchanges) and have their own blockchain initiatives, so a solid business with proper compliance might be accepted. U.S. Bank (the fifth-largest US bank) has been one of the more crypto-forward traditional banks – it even launched crypto custody services for institutional clients , indicating a friendly posture.
    • Local and Niche Banks: Some regional banks and credit unions in California are open to crypto businesses. For example, First Foundation Bank and Customers Bank (though not CA-based, they serve companies nationally) have been known to work with fintech and crypto clients. Since the closure of crypto-specialty banks like Silvergate and Signature in 2023, many companies moved to mid-sized banks that quietly serve the industry. You should inquire with any prospective bank about their policy on crypto. Be upfront about your business model – describe it as a financial consulting or investment management company that holds digital assets on its balance sheet, and clarify you won’t be mixing customer funds or running an exchange (which banks fear due to regulatory risk). Having a transparent explanation can prevent surprises later when large crypto-related transfers start flowing.
    • Segregate Accounts: Maintain at least one dedicated business checking account for normal operations (income from blog, paying vendors, etc.), and possibly a second account where you keep funds earmarked for converting to Bitcoin. This isn’t a requirement, but some companies find it cleaner to have an “operating account” and an “investment account”. You might also keep higher balances in a business savings account or money market when funds are waiting to move into BTC, to earn a bit of interest (some fintechs like Mercury automatically provide an interest-bearing account).
    • Handling Transfers to Exchanges: Ensure the bank you choose allows outgoing wires or ACH transfers to crypto exchanges without hassle. Many big banks do allow it now, but they might have policies (for example, some banks block wires to international exchanges or unknown entities). A workaround is using U.S.-based exchanges like Coinbase, Kraken, Gemini, etc. since banks recognize those. Mercury and other fintechs generally have no issue with such transfers, and Mercury even notes that thousands of crypto/web3 companies use it for banking . Still, when you initiate large transfers, be prepared for the bank to sometimes ask for additional info (especially the first time or for very large amounts, they might ask for purpose of wire). Always have documentation on hand (like an invoice or simply note “Transfer to corporate exchange account to purchase Bitcoin for treasury”).
    • Consider Banking Relationships: If your business grows, having multiple banking relationships can be wise. This provides redundancy (important given how some banks have abruptly cut off crypto businesses in the past). You might keep one primary operating bank, and a secondary account elsewhere (even a personal account of yours designated for emergency use if needed). Also, if you have a good relationship with a local bank (maybe through your other businesses or personal accounts), talk to a branch manager about your new company – sometimes a smaller community bank can accommodate you if they understand your plan and see you as a low risk, legitimate business.
    • Cash Management: Keep your fiat funds sufficient for near-term needs. It’s not recommended to put 100% of your cash into Bitcoin – you’ll need USD to pay ongoing bills (hosting, contractors, etc.) and taxes. A prudent approach might be to convert a certain percentage of profits or reserves into Bitcoin, rather than all liquidity. Essentially, manage it like a treasury: hold an appropriate reserve in cash for expenses and an allocation to BTC for long-term appreciation. This is akin to how a company might allocate part of its cash to longer-term investments.
    • Payment Processors: If you want to accept Bitcoin as revenue (say, readers of your blog can pay in BTC for something), you’ll want a solution to handle that (like BTCPay Server for self-hosted processing, or third parties like BitPay or OpenNode). These will require linking to your bank as well (to convert crypto to USD if desired). Ensure your bank is comfortable with incoming wires/ACH from such processors. Often it’s fine since they come in as domestic transfers.
    • Bank Security & Insurance: Just as you secure crypto, also ensure your bank accounts are secure – use multi-factor authentication for online banking, set up alerts for large transactions, and limit who (if anyone besides you) has access. Business bank accounts are not protected the same way consumer accounts are for fraud, so be vigilant. The standard FDIC insurance covers $250k per bank per depositor – Mercury’s scheme can cover more by splitting funds . If you have more cash than that (which you might not, if most excess gets moved to BTC), consider spreading across institutions or using products that sweep funds into multiple banks.

    Checklist – Crypto-Friendly Banking:

    • Open Business Bank Account: Target a bank/fintech known for working with crypto companies (e.g. Mercury , Chase, U.S. Bank). Provide all required documents (EIN letter, formation docs, ID).
    • Disclose Activity: Be honest about expected transactions (e.g. “We may wire funds to major exchanges like Coinbase to invest company reserves in Bitcoin”). Ask if they have any restrictions or need any paperwork for that.
    • Link to Exchange: Set up an account on a reputable U.S. exchange or brokerage (Coinbase Prime, Kraken, Gemini, Swan, etc.) under your company’s name. Complete their KYC (will likely require your personal ID and company docs). Link your new bank account to this exchange via ACH or have the ability to wire funds.
    • Test Small Transactions: Do a small trial – e.g. send $100 from the bank to the exchange and back – to ensure the pipeline works and neither side flags it. This builds confidence and also warms up the bank’s transaction history.
    • Plan Frequency of Transfers: Decide whether you’ll do automated ACH buys (some platforms allow recurring buys from bank) or manual trades. Schedule them and ensure adequate bank balance when needed.
    • Maintain a Cash Buffer: Always keep enough USD in the bank for near-term obligations (e.g. at least 3-6 months of expenses and an estimate of taxes). This prevents forced sales of Bitcoin at a bad time just to raise cash.
    • Monitor Bank Statements: Reconcile your bank account monthly. This helps catch any unauthorized activity quickly (important, since business accounts have shorter windows to report fraud).
    • Backup Banking Option: Consider opening a secondary account (maybe at a different bank) as a contingency. This could simply be a business account at a second bank or even a personal account you could use in a pinch to send/receive if the main account has an issue.

    By securing a reliable banking partner, you ensure the fiat side of your crypto treasury operation runs smoothly.

    6. Crypto Custody: Hot, Cold, or Multisig?

    Safeguarding your company’s Bitcoin is absolutely critical. You’ll want to choose custody solutions that balance security with operational needs:

    • Hot Wallets (Online Storage): A “hot” wallet is any wallet connected to the internet – e.g. a mobile app, a web wallet, or an exchange account. Hot wallets are user-friendly and allow quick transfers, but they are more vulnerable to hacks and theft (since an online system can be attacked remotely). As a business, you might use a hot wallet for small amounts or for transactional purposes (say you plan to occasionally spend BTC or need to move it on short notice), but limit the balance kept in hot wallets. Think of hot wallets like petty cash. Any Bitcoin kept on an exchange or software wallet that’s online has some risk. If using an exchange, prefer those with strong security reputations and insurance coverage on custodial assets (Coinbase, Gemini, Kraken all have good track records, but still only keep on exchange what you plan to trade). Many companies keep 0%–5% of their crypto in hot wallets for liquidity, and the rest in cold storage.
    • Cold Storage (Offline Wallets): “Cold” storage means the private keys are kept offline, on a device or medium not connected to the internet. Examples: hardware wallets (like a Ledger or Trezor device), air-gapped computers, or even paper wallets (private keys/seed phrases written down or engraved and stored). Cold storage is considered the gold standard for long-term holding because it vastly reduces exposure to online hacks . However, pure cold storage can be inefficient for frequent access – transferring funds out of deep cold storage might take time (some systems take 24-48 hours to withdraw because of manual processes) . In your case, where the goal is long-term treasury, this is fine; you won’t need to move Bitcoin often, and the security benefit is worth minor inconvenience. Best practice: use hardware wallets from reputable manufacturers, initialize them securely, and back up the seed phrases on paper (or metal) stored in secure locations (e.g. bank safe deposit box or a fireproof safe). For added security, consider splitting backups (half the seed words in one location, half in another) so that no single location has the full key.
    • Multisignature Wallets (Multisig): Multisig is an advanced setup where multiple private keys are required to authorize a transaction . For example, a “2-of-3” multisig wallet will have 3 keys total, and any 2 are needed to spend funds. This approach greatly improves security by removing any single point of failure . No one key loss or compromise can allow theft – an attacker would need to breach multiple key holders/devices, and if you lose one key, you still have backups to access your funds . For a corporate treasury, multisig is highly recommended. It’s widely recognized as one of the most secure methods for storing Bitcoin long-term, eliminating risks of a single custodian or device failure . You can implement multisig yourself using wallets like Electrum or Sparrow paired with multiple hardware devices, but an easier route is to use services from companies like Unchained Capital or Casa:
      • Unchained Capital: Offers a collaborative custody model. For instance, you can do a 2-of-3 multisig where you hold 2 keys (on separate hardware wallets) and Unchained holds the 3rd as a cosigner. They cannot move funds on their own (they only have 1 key), but if you lose one of yours, they can co-sign with your remaining key to recover. They also provide an interface (Vaults) to manage the multisig and periodic check-ins. This gives a nice blend of autonomy and a safety net. Unchained is known for business-friendly services and guidance on corporate Bitcoin treasury management.
      • Casa: Geared slightly more to individuals, Casa offers a 3-of-5 multisig where you hold 3 keys on different devices, Casa holds 1 for emergencies, and one key is on your phone for easy access. Their higher-tier plans can accommodate business accounts and come with concierge setup, theft insurance, and white-glove support. Casa’s approach means even if Casa’s server is down, you have enough keys to move funds. It’s a user-friendly way to get multisig security without needing to be a technical expert.
      • Both Unchained and Casa have institutional-grade security practices and will guide you through setup. They charge for their services (typically a monthly or annual fee), but for the security and peace of mind, many find it worth it. Additionally, multisig wallets can have whitelisting and spending limits (either via software or just policies) which add another layer – e.g., you could configure that any transaction over X BTC requires a key that’s kept in deep cold storage or with a third party, adding friction to large transfers .
    • Institutional Custodians: If you prefer not to hold the keys yourself at all, you can use a qualified custodian service. These are companies that will secure your Bitcoin on your behalf, often using their own multisig or advanced custody tech like multi-party computation (MPC). Examples: Coinbase Custody, Gemini Custody, BitGo, Fidelity Digital Assets. They cater to institutions and high-net-worth clients. The pros are: professional security, insurance coverage (often they carry insurance against theft), regulatory compliance (some are trust companies or OCC-chartered). The cons: fees (custodians charge either AUM fees or transaction fees), and you rely on a third party (which is against the “not your keys, not your coins” ethos). That said, these firms have robust security – e.g. Gemini Custody uses multi-party protocols, biometric access controls, and is SOC 2 Type 2 certified . If you have a very large amount of Bitcoin (say enough that its loss could end the company), putting it with a reputable custodian might be prudent, or at least the portion above a threshold. Some companies use a hybrid: keep a chunk in self-custody and a chunk with a custodian. Note that some custodians have minimum balance requirements (often $1M or more), so as a smaller business you might instead look at services like Swan (which uses third-party custody for clients’ assets by default, with self-custody options too).
    • MPC and Other Advanced Tech: Modern custody is not just “hot vs cold”. Multi-Party Computation (MPC) is a cryptographic technique now used by Fireblocks, Copper, and other enterprise solutions . It allows distributed key shares and signing without ever creating one single private key, enhancing security and flexibility (and working across different blockchains easily). For your purposes, you likely won’t implement MPC on your own, but you might interact with it if you use a platform like Fireblocks (mostly if you were frequently moving funds or needed an automated treasury system). Just be aware that beyond traditional multisig, MPC is an alternative that some custodians offer – it provides similar multi-part approval benefits and can be invisible to you as a user.
    • Key Management Best Practices: No matter which route you choose, document a Key Management Policy. This should cover: how many keys exist, where they are stored, who knows the seed phrases, and what happens if you (the primary holder) are incapacitated. Since you’re a sole owner, consider what happens if something happens to you – is there a plan for a spouse or trusted friend to access the keys (maybe via sealed instructions or having one key in multisig)? As a business, you might even put in place a basic corporate succession plan for the crypto assets. Additionally, test your recovery procedures. If you set up multisig, do a test spend of a small amount to ensure you know how to use your keys to move funds. If using cold storage, practice restoring a wallet from seed on a backup device (to confirm you wrote down the phrase correctly).
    • Insurance for Custodied Assets: Some third-party custodians carry insurance – e.g. Coinbase Custody reportedly has a $255 million insurance policy for its hot wallets, Gemini has coverage on assets in their custody, etc. However, your own self-custodied Bitcoin isn’t insured unless you get a policy (see Insurance section). So don’t let a false sense of security creep in – even custodians’ insurance might have limits and exclusions. Still, using a respected custodian does reduce risk of human error on your part and shifts some security burden to professionals.

    In summary, for a long-term treasury, the recommended approach is primarily cold storage, ideally using multisig for the added safety net. Hot wallets should only be used for small, active needs. Whether you self-custody with multisig or use an external custodian depends on your comfort and scale. Many small businesses opt for collaborative multisig (e.g. Unchained Vault) as a good balance.

    Checklist – Bitcoin Custody Plan:

    • Decide Custody Mix: Choose between self-custody (you hold keys) vs. third-party custody, or a mix. If uncertain, lean towards self-custody with professional help (Unchained/Casa) to maintain control of your assets.
    • Set Up Cold Storage: Acquire two or more hardware wallets (Ledger, Trezor, Coldcard, etc.) from official sources. Initialize them offline (follow device instructions) and securely record the seed phrases. Do not take digital photos of seeds. Store backups in secure, separate locations. For multisig, set up on a platform like Unchained or using open-source tools, and perform tests.
    • Minimize Hot Exposure: Decide if you need a hot wallet at all. If yes, create one with a small balance (for example, a mobile wallet with a few hundred dollars in BTC for on-the-go payments). Never store treasury funds on a phone or exchange long-term beyond what’s necessary for short-term use.
    • Use Multisig for Treasury (if self-custodying significant amounts): Implement a 2-of-3 or 3-of-5 multisig. Distribute keys: e.g., one hardware device at your home safe, one at a bank vault, one with Unchained or a lawyer. Document which addresses are part of the multisig.
    • Security Measures: Encrypt any digital backups (if you have to keep a copy of a seed on a computer, use strong encryption – but generally avoid digital copies). Consider using a passphrase (25th word) on hardware wallets for extra security (just don’t forget it!).
    • Emergency Access: Make a plan for who can access the Bitcoin if you cannot. This might involve legal arrangements (like leaving instructions with an attorney or in a safe deposit box that a trusted person can access). The plan should ensure the company’s Bitcoin doesn’t become irretrievable.
    • Stay Updated on Best Practices: Subscribe to security newsletters or follow entities like Ledger, Casa, or Bitcoin-focused security blogs. The threat landscape evolves (e.g. new malware targeting seeds, etc.), so keep your knowledge current.

    By diligently securing your Bitcoin, you protect the core asset of your treasury strategy. Remember, there’s no bank safety net in crypto – security is in your hands (or your chosen custodian’s). The effort you put into proper custody will pay off immensely in peace of mind.

    7. Accounting and Tax Considerations for Crypto Treasury

    Maintaining proper accounting for your Bitcoin holdings and transactions is essential for compliance and to understand your financial position. Here’s how to approach it:

    • Bookkeeping for Crypto Transactions: Every time the company buys Bitcoin, sells Bitcoin, or uses Bitcoin, record it just as you would any other financial transaction. Key data to log:
      • Date and time of transaction.
      • Amount of BTC (or satoshis) and USD value at that moment.
      • Purpose (e.g., “Purchased 0.5 BTC with $15,000 from revenue” or “Sold 0.1 BTC for $4,000 to pay vendor X”).
      • Transaction fees paid (in BTC or USD).
      • If it’s a transfer between your own wallets (e.g., from exchange to cold wallet), note that too (no tax impact, but good for audit trail).

    • Use an accounting software or at minimum a spreadsheet. There are specialized crypto accounting platforms like Bitwave that integrate with exchanges and wallets to automate a lot of this, producing audit-ready records . Bitwave (and similar tools like CoinTracker, TaxBit, Koinly) can track cost basis and generate reports. Since you are essentially doing investment accounting, consider using such a platform to avoid manual errors – they can consolidate data and even provide journal entry suggestions for your general ledger. Bitwave, for example, is designed for enterprises to unify crypto transaction data with traditional accounting .
    • Accounting Method (Cost Basis): Decide on a cost basis method – FIFO (First In First Out) is common and the default for IRS if not specified, but you could use specific identification to manage taxes (accounting software can help with this by tracking each lot). For instance, if you bought Bitcoin at different times, you can choose which lot to sell to realize either gains or losses strategically (specific ID requires detailed records and consistency). Ensure the method you choose is used consistently and documented.
    • Financial Statements (GAAP considerations): If you prepare formal financial statements or plan to seek investors, note how crypto is presented. Under updated U.S. GAAP rules in 2025, crypto assets are to be reported at fair value on the balance sheet with changes flowing through the income statement . This is a shift from prior years where they were treated as intangible assets subject only to impairment (write-downs) but no write-ups. The new rule (FASB ASU 2023-08) means each reporting period you’ll mark your Bitcoin to market price, and unrealized gains/losses will count in net income . This could make your financials more volatile (as Bitcoin’s price swings will show up as profit or loss), but it provides transparency and reflects economic reality better. If you’re just doing taxes and internal cash accounting, you might not need to apply GAAP fair value accounting, but keep it in mind if you issue statements to external parties. Also, any Bitcoin holdings should be clearly disclosed in notes if statements are shared – include how many BTC the company holds, basis, and market value at report dates.
    • Tax Reporting and Strategy: For taxes:
      • Federal: As discussed, report crypto gains/losses on your tax return. If your company is pass-through, those will appear on your personal Schedule D/K-1. Keep an eye on tax-loss harvesting opportunities – if Bitcoin’s market dips below your cost, you could consider selling and rebuying after 30+ days to realize a capital loss (respecting wash sale rules – currently unclear if wash sale applies to crypto in 2025, but likely it will soon due to pending legislation). Those losses can offset other gains. However, don’t let tax tail wag the dog; only do it if it fits your investment goals. The IRS also allows you to donate Bitcoin to charities and deduct the fair value (if held >1 year, you get a full market value deduction and avoid capital gains on that BTC). This could be a strategy if philanthropy is in your plan.
      • California State: California will tax crypto gains at the full state income tax rate. There’s no special treatment – it’ll just flow through to your state return. Ensure you make estimated tax payments to California if necessary (California, like IRS, expects quarterly estimated taxes if you will owe a significant amount for the year).
      • Depreciation/Amortization: Crypto itself isn’t depreciated (it’s not a tangible asset like equipment). But any equipment you buy (like a computer, hardware wallet, etc.) can be expensed or depreciated. If you ever mine Bitcoin (not likely here), then the mining rig could be depreciated and the mined Bitcoin would be income at fair value.
      • Accounting Period & Method: Most small businesses use cash basis accounting for simplicity. However, if you carry inventory or securities you might use accrual. Bitcoin isn’t inventory (unless you are a broker/dealer), so you can choose cash basis which recognizes income when received and expenses when paid. Cash basis is fine for a simple treasury operation. Just note that even on cash basis, buying an asset like Bitcoin doesn’t count as a deductible expense (you’re converting one asset (cash) into another (crypto)). Only when you sell crypto do you have a realized gain/loss that affects taxable income.
    • Tools & Services:
      • Crypto CPA / Accountant: It’s highly recommended to engage an accountant experienced in crypto. They can help with setting up your accounting system properly (e.g., using QuickBooks or Xero with crypto integrations) and ensure your tax filings fully comply. They’ll know nuances like how to handle network fees, forks (if any), airdrops (if you ever receive any – e.g., if you held BTC and a fork happened, how to treat that), etc. Given the complexity, having professional oversight is worth it.
      • Accounting Software: If you already use accounting software for your blogging income, integrate crypto data. For instance, some businesses treat cryptocurrency like a separate “cash account” in QuickBooks. You’d create an account for “Bitcoin Treasury – asset” on the balance sheet. When you purchase BTC, you’d credit Cash and debit Bitcoin asset. When price changes, under old rules you might not reflect unrealized gains, but under new fair value rules, you would mark it to market at period end (debit or credit asset, and record a gain or loss in income). There are QB plugins that can automatically adjust crypto prices or you can do manual adjusting entries.
      • Audit Trail and Compliance: Keep all documentation: exchange trade confirmations, bank records of transfers, any communications about valuations. The IRS in recent years has stepped up enforcement on crypto (they ask about it on the first page of the 1040 now). Being a business, you’re a bit less likely to hide anything anyway, but be prepared to substantiate all crypto-related figures on your returns. Also, starting likely in 2025, exchanges will issue 1099-B forms to businesses and individuals summarizing gains/losses (per the Infrastructure Bill’s provisions). Make sure those match your records or reconcile differences.
    • Paying Vendors or Employees in Bitcoin: If you decide to pay any expenses in BTC (say a contractor who’s Bitcoin-savvy or a service that accepts BTC), treat it like you sold that portion of Bitcoin for its USD value and then paid cash. It will create a capital gain/loss for the company and be a deductible expense for that USD amount. For example, you owe a developer $1,000 and you pay in BTC valued at $1,000 at that time. If that BTC cost you $800 originally, you have a $200 gain that will be taxed, but you also deduct $1,000 as a business expense (if it’s an ordinary business expense) – net effect: you pay tax on $200 gain, and get deduction of $1,000, which at 21% corporate rate or your personal rate yields some benefit. It’s a bit of a juggling, so many prefer to just pay in fiat to avoid the calculation. But if you do it, log the details carefully (the USD value and the crypto details on that date).
    • Software Example: If using Bitwave: It can pull data from your exchange and wallets to auto-calculate your gains and produce entries. It can also track cost basis per lot which is crucial . This saves you having to figure out which satoshi is which. It also helps in case of an audit by providing a clear ledger of crypto transactions matched with blockchain records. Other platforms like TaxBit have an enterprise version that can integrate with accounting software to feed in realized gain/loss info periodically.

    Checklist – Accounting & Tax Management:

    • Set Up Accounting System: Have a bookkeeping method (software or spreadsheet) in place from day one. Create accounts for “Cryptocurrency Assets”, “Realized Gains/Losses on Crypto” (income statement), “Unrealized Gain/Loss” (if tracking fair value changes), etc.
    • Use Crypto Tracking Tools: Sign up for a crypto accounting platform or at least a portfolio tracker. Sync it with your wallets/exchanges so every trade or transfer is recorded.
    • Maintain Cost Basis Records: For each Bitcoin purchase, note the quantity and total cost in USD. If you buy in chunks, you’ll have multiple lots – label them (e.g. Lot #1: 0.2 BTC @ $40k on 2025-02-01). When selling, decide which lot you’re selling or use FIFO consistently.
    • Plan for Taxes: Do a quarterly or at least annual review of unrealized gains so you aren’t surprised at tax time. If Bitcoin soared and you took some profits, set aside enough cash for the tax bill. Make estimated tax payments to IRS and FTB if required (to avoid penalties).
    • Keep Personal and Business Separate for Tax: Don’t use personal accounts for crypto trades related to the business. All crypto intended as treasury should flow through the company’s books. This avoids a nightmare of co-mingled records during tax prep or audits.
    • Leverage Tax Strategies: Consider strategies like tax-loss harvesting in down markets or donating appreciated crypto for a write-off, if applicable to you. But always consult your CPA before executing, to ensure you’re following rules properly.
    • Adopt New Accounting Standards (if needed): If you issue GAAP financials or want the most accurate balance sheet, plan to adopt fair value accounting for crypto assets in 2025 . This may involve marking to market at year-end and including that in your financial reports (not your tax returns – those still only count realized gains).
    • Prepare for Possible Audit: Keep a folder (physical or digital) with all crypto-related documents for each year. If the IRS or state ever questions something, you can quickly provide transaction records, proving calculations and values . Given the transparency of blockchain, providing public addresses or transaction hashes for large transactions could also support your case.

    Staying disciplined in accounting will save you headaches and ensure your pioneering Bitcoin treasury strategy doesn’t run afoul of tax authorities. Accurate books also help you gauge the success of your strategy over time (e.g., tracking how the crypto appreciates relative to your basis).

    8. Insurance Options to Protect Your Bitcoin Holdings

    With potentially significant value in Bitcoin on your balance sheet, you should evaluate insurance to mitigate risks that pure technology solutions cannot. Traditional commercial insurance often excludes cryptocurrency or treats it as cash (with low coverage limits), but the industry is evolving. Key insurance considerations:

    • Theft (Crime Insurance): A Commercial Crime insurance policy can cover losses from theft or fraud, including digital asset theft. For example, if a hacker or rogue employee steals Bitcoin from your hot wallet or exchange account, a crime policy could reimburse the value . This is not part of a standard business owner’s policy; it’s a separate or add-on coverage specifically covering dishonesty, theft, robbery, computer fraud, and wire transfer fraud. When applying, insurers will ask detailed questions about your security practices (what wallets, how keys are stored, etc.) . Expect that the insurer may require multi-factor authentication on exchange accounts, limits on hot wallet balances, and possibly professional audits of your security setup for high coverage amounts. Cost: Crime policy premiums vary based on coverage limits and security – a $1M crypto theft coverage could cost a few thousand dollars annually, depending on conditions. Insurers like Evertas specialize in crypto theft insurance, often backed by Lloyd’s of London .
    • Cold Storage Insurance (Specie Insurance): “Specie” insurance is a niche coverage traditionally used for cash, gold, art, etc., stored in vaults – it has been adapted for crypto cold storage. It covers the loss, damage, or theft of digital assets when kept in cold storage (often including during transit to/from vaults) . For instance, if you keep a hardware wallet in a bank safe deposit box and the bank vault burns down or is burglarized, specie insurance would pay out for the value of the coins (since you can’t really “replace” the exact asset, they’d pay market value). It can also cover things like insider theft by custodians or destruction of private keys . Some custody providers have their own specie insurance (Gemini, Coinbase Custody have insurance on their cold vaults). If you self-custody in safe deposit boxes, you might get a policy to cover that scenario – sometimes as an extension of a personal valuable items policy or via brokers who understand crypto storage. Be prepared to show proof of the cold storage method and possibly have an inventory of addresses insured.
    • Custodial Insurance: If you use a third-party custodian or exchange, check what their insurance covers. Most exchanges insure against theft from their systems (often this covers hacks of their hot wallets, etc.), but not if your personal account is compromised due to, say, your password being stolen (that would fall under your own crime policy). Custodians might have high-limit insurance for cold storage (Coinbase claims to have a $320M policy, Gemini had $200M, etc.). However, these often have limitations and may not cover all losses (especially if nation-state hacking or internal collusion is involved – read the fine print). In any case, don’t assume “the exchange will cover me” – use insurance you control for full assurance.
    • Directors & Officers (D&O) Insurance: If you incorporate and ever bring on other shareholders or directors (or plan to raise money), a D&O policy is important. It covers the company’s leaders (you and any future officers) against lawsuits alleging mismanagement, breach of fiduciary duty, etc. . How is this relevant to a Bitcoin treasury company? Consider if an investor comes in and then Bitcoin’s value plunges – they might claim you breached duty by investing in “speculative” assets. D&O insurance would help defend such claims (and pay settlement or judgment if needed) . Early on, if you’re the only owner, D&O might not be critical, but as soon as you have external stakeholders (investors, a board), it becomes vital. Some insurers might be wary if your treasury is mostly Bitcoin, so work with a broker to present your case well (e.g. “we have a solid risk management strategy, here’s our security, etc.”).
    • Cyber Liability Insurance: This covers hacks and breaches of your company’s systems. If your blog or website is hacked or personal data of users is stolen, cyber insurance would cover response costs. If you’re not holding customer data or running a platform, your cyber exposure is low. However, if you run any servers (perhaps hosting a BTC pay server or a Lightning node tied to the business), cyber insurance could be relevant. It often overlaps somewhat with crime insurance but is more about data loss and liability to others.
    • Personal Insurance Note: As a sole proprietor shifting to a company, remember that your personal homeowner’s or renter’s insurance will not cover business property (and definitely not crypto). Don’t expect any personal coverage if company assets are stolen. Keep everything separate and insured through the business appropriately. Also, if you ever store a hardware wallet at home, note that most homeowner policies treat cryptocurrency as cash (and typically only cover a few hundred dollars of cash by default). You might schedule it as a valuable item, but again, better to handle via a business policy.
    • Insurance Providers: Work with brokers who understand crypto. Firms like HCP National or Founder Shield have experience getting policies for crypto startups . Also, Marsh and Aon have digital asset insurance teams. They can shop underwriters like Lloyd’s, Chubb, etc. Be prepared for a detailed underwriting process – you may need to fill out questionnaires about how your private keys are stored, how many people have access, etc. If you’ve implemented strong custody practices (multisig, hardware wallets, etc.), that will help your case and potentially reduce premiums.
    • Cost-Benefit Analysis: Insurance for crypto isn’t cheap, and not everyone gets it. If your Bitcoin holdings are small (say $10k), insurance might not be worth it – the premium could be a large fraction of the asset. But if you’re holding hundreds of thousands or millions in BTC, consider at least a basic crime policy. Insurance provides an extra layer of protection on top of your security measures: it’s like a safety net if all else fails. It can help you sleep at night, knowing catastrophic loss (though unlikely if you secure things well) wouldn’t be 100% unrecoverable financially.
    • Limits and Exclusions: Read policies carefully. Some crime policies only cover theft after a certain point of breach (e.g., they might not cover if an officer of your company orchestrates the theft – that might be a fidelity bond issue). Others might exclude losses due to your own failure (if you just lose the keys, some policies may not cover “mysterious disappearance”). Specie policies often require proof of forcible entry for physical theft claims. Understand what events are actually covered so you can address the gaps – for example, no policy will bring back lost private keys due to forgetting, so that risk you still mitigate via good backups (not insurance).

    Checklist – Insurance Protection:

    • Assess Risk Exposure: How much value will the company hold in Bitcoin (and other assets)? What scenarios worry you most (hack, internal theft, loss by custodian, etc.)? Use this to decide which insurance makes sense.
    • Engage a Knowledgeable Broker: Find an insurance broker who has placed policies for crypto businesses. They will know which underwriters to approach and how to negotiate terms that actually cover crypto events.
    • Implement Strong Security Before Applying: Underwriters will ask about your security. Having multisig, limited hot wallet use, and clear protocols will make you a better candidate . You might even consider an external security audit or certification (if going for very large coverage).
    • Get Quotes: Obtain quotes for Crime and Specie insurance for the value of assets you want covered. Compare coverage details. For example, quote a $100k coverage and $500k coverage and see cost difference – you might decide only to insure against major losses.
    • Review Policy Terms: Before binding a policy, review exclusions. Ensure crypto is not excluded by any dishonest wording (some generic policies exclude intangible assets – make sure yours specifically includes cryptocurrency as covered property). Get clarity on how value will be determined at time of any claim (usually spot market price at theft time).
    • D&O (if applicable): If you anticipate taking on investors or a formal board, line up D&O insurance. Many VCs require it. It typically can be obtained a bit later when needed, but don’t forget it.
    • Document and Update: Once insured, keep proof of insurance and note renewal dates. Update the coverage as your holdings grow – an out-of-date policy that covers far less than your holdings might not fully protect you. Conversely, if you drastically reduce holdings, you could lower coverage to save on premium.
    • Integrate with Security Plan: Insurance is a supplement, not a substitute for security. Maintain all the security best practices (insurers will require that anyway). If an insured event occurs (say you notice a theft), know the procedure: notify law enforcement and insurer promptly (delayed notice can void coverage).

    By obtaining appropriate insurance, you add a financial backstop to your technical safeguards. It’s akin to how businesses with warehouses get fire insurance even if they have sprinklers – you hope to never need it, but it’s critical if disaster strikes.

    9. Grants, Incentives, and Accelerators in California for Crypto/Fintech Startups

    Starting a fintech or crypto-oriented company in California means you can tap into a rich ecosystem of innovation support. Here are ways to get help or funding:

    • Accelerators & Incubators: California is home to top startup accelerators, including some focused on blockchain:
      • Berkeley Blockchain Xcelerator: A prestigious non-dilutive accelerator launched in 2019 by UC Berkeley (Haas Business School, Engineering, and Blockchain at Berkeley) to support blockchain startups . They have helped over 100 teams globally, with alumni raising over $600M . Getting in provides mentorship from industry experts, access to Berkeley’s resources, and investor demo days – all without taking equity. As a popular blogger, your profile might help in applying. If your Bitcoin treasury company has some innovative angle (like developing internal treasury management tech or offering a service eventually), this could be a fit. Keep an eye on their application cycles (usually annually or bi-annually).
      • Expert Dojo (Santa Monica): They run a Crypto Accelerator program . Expert Dojo invests small amounts (around $100k) in early-stage companies in exchange for equity, and provides an intensive program on growth. They look for transformative projects in Web3, so if your company is purely holding Bitcoin, it might not fit – but if you extend into a fintech solution or content platform around Bitcoin finance, it could be compelling.
      • Alliance (Crypto Accelerator): Alliance DAO (originating from the DeFi Alliance) is a renowned global accelerator for web3 startups . It’s remote-first, but many of its founders and mentors are in California or the U.S. They offer a 3-month program, mentorship, and a community of crypto founders. No direct grant, but they sometimes invest or help you raise capital.
      • General Tech Accelerators: Programs like Y Combinator (Silicon Valley) and Techstars (which has a fintech track, e.g. Techstars LA or others) have admitted crypto companies. Y Combinator is highly competitive but provides $500k in funding now (for ~7% equity) and unparalleled investor exposure. If your vision is bigger than just managing your own treasury – say you want to develop a product from it – you might consider this route.
      • Corporate Accelerators: Some large fintech companies or banks have accelerators (e.g. Visa’s fintech fast-track, Plug and Play Fintech in Sunnyvale, etc.). These can provide partnerships and sometimes grant money or credits for services.
    • Grants and Competitions:
      • California State Grants: California itself primarily provides grants in specific areas (e.g., climate tech, education, etc.). There isn’t a state grant for “starting a crypto company” per se. However, you can avail general small business support. The California Office of the Small Business Advocate (CalOSBA) lists various grants and loan programs . For example, the state runs California Competes Tax Credit, which is not a grant but a tax credit for businesses that commit to staying and growing in CA (you apply for it and it’s competitive) . If you plan to create jobs and invest in R&D, you can apply for that credit – successful applicants have ranged from large companies to small startups, and if awarded, it can offset your state income taxes significantly.
      • Federal Grants: The Small Business Innovation Research (SBIR) program (America’s Seed Fund) offers federal grants for R&D-focused companies . If you pivot into developing a novel fintech software, you could attempt an SBIR grant from agencies like NSF or DOE if relevant. This is a long shot for a treasury holding company alone, but if you have a tech angle (e.g., developing open-source Bitcoin treasury management tools), it could qualify as innovative R&D.
      • Blockchain Ecosystem Grants: Look to blockchain foundations and companies. Some protocols (not Bitcoin itself, since it has no foundation) offer grants to startups building on their tech. For example, if you ever incorporate Lightning Network services or sidechains, there might be grants from Lightning Labs or others. Additionally, organizations like Square Crypto (now Spiral) have given grants for Bitcoin development, and Bitcoin ecosystem funds (like Brink or OpenSats) fund Bitcoin infrastructure projects. These are more for developers than businesses, but if you contribute to open source, you might tap into that.
      • Innovation Challenges: Keep an eye out for hackathons or innovation challenges in fintech. For instance, the DFPI has run “Fintech Innovation Hours” and other events (not so much grants, but exposure). Also, sometimes universities (Stanford, UCLA) host startup competitions open to fintech/blockchain ideas where prize money or credits can be won.
    • Tax Incentives:
      • R&D Tax Credit: If your company does any software development or technical research (perhaps you build proprietary tools to handle Bitcoin accounting or security), you can potentially qualify for the California R&D Tax Credit . This credit allows a percentage of qualified research expenses (like engineer salaries, prototyping costs) to offset state income tax. The federal government also has an R&D credit which can even offset payroll taxes for startups in early years. It might not apply if your company is purely investing, but if you end up building tech internally (say you create a custom treasury management solution), you could claim some expenses under this.
      • Opportunity Zones: If you’re in California and happen to locate your business in a Qualified Opportunity Zone and invest capital gains into it, there are federal tax deferral benefits. This is more applicable if you had a big personal capital gain (maybe from crypto) and want to roll it into funding this new company located in an OZ. It’s a complex but potentially beneficial incentive.
    • Networking and Support Programs:
      • Local Bitcoin Meetups: Cities like San Francisco, Los Angeles, and San Diego have active blockchain communities. Joining meetups or groups (e.g. SF Bitcoin Developers meetup, LA Blockchain Investors) can plug you into networks that share opportunities and sometimes non-dilutive support. For example, SF had a Blockchain Week which included a hackathon and pitch events.
      • University Resources: Even if you’re not a student, universities often allow outsiders to participate in certain programs. The USC and UCLA communities have blockchain labs or groups; connecting with them could find you student talent or research collaboration (which could lead to grants or at least cheap development resources if you need help building something).
      • FinTech Sandbox: Not CA-specific, but there are programs like the FinTech Sandbox that provide free access to financial data APIs and resources for startups working on fintech projects. If you find yourself needing market data or tools for building a treasury platform, such programs help reduce costs in early stages.
    • VC Funds and Angel Networks: While not exactly “grants,” remember that California is VC central. Crypto-focused VC firms (like Andreessen Horowitz’s a16z Crypto, Polychain, Pantera Capital, etc.) and angel investors are plentiful. If your vision is to grow this into a larger fintech company, start cultivating relationships. Even accelerators aside, there are crypto startup schools (a16z ran one in 2020 and might again) and mentorship networks like Orange DAO (a community of Y Combinator alumni investing in crypto startups) . These often provide small investments plus mentorship. The advantage of investors vs. grants is capital can be larger and come with guidance – the drawback is you give up equity. For a treasury company that might not seek big growth, you may not want investors; but if you evolve toward offering services (like treasury management for other bloggers/businesses), you might.

    Checklist – Leverage Ecosystem Support:

    • Identify Your Goals: Are you aiming to simply manage your own funds, or do you have a scalable business idea around this (e.g., building a platform or service)? If it’s the latter, pursuing accelerators and VC makes more sense. If it’s the former, focus on grants/incentives that don’t require equity or hyper growth.
    • Apply to Relevant Accelerators: If you have a product angle, prepare an application for programs like Berkeley Xcelerator or others. Highlight your unique perspective as a popular blogger with an audience – perhaps your business could expand into educating others about corporate Bitcoin adoption, etc., which could be attractive to accelerators.
    • Consult CalOSBA and Local SBDCs: The Governor’s Office of Business and Economic Development (GO-Biz) has consultants that can point you to state resources . Local Small Business Development Centers (SBDC) in California offer free consulting and sometimes know of local grants (for example, some cities had COVID-relief grants or special programs for new businesses). While these might not be crypto-specific, you qualify as a small business.
    • Track Grant Opportunities: Set up Google Alerts or follow fintech associations for announcements. Sometimes new programs emerge (e.g., the state legislature could create a blockchain pilot program fund – not the case yet, but possible in the future). Also, the federal bipartisan infrastructure law allocated some funds for research on blockchain and cybersecurity – keep an ear out if any of that trickles down to grants businesses can tap.
    • Use Tax Credits: When filing taxes, remember to use any credits available. The California Competes Tax Credit application window opens a few times a year – if you plan to increase employment or make investments, consider applying (it’s competitive, but if you win, it’s free money in terms of tax reduction). Also, if eligible for the federal R&D credit, use it to offset payroll taxes in early years (your accountant can help determine eligibility).
    • Engage with the Community: Sometimes the best “incentive” is knowledge sharing. By engaging with the crypto startup community in California, you’ll hear about opportunities first. For example, if a new accelerator or hackathon is announced, someone in the community will know. Being active on Twitter (Crypto Twitter is very active, and many California investors/founders are on it) can also expose you to programs (e.g. people often share when an accelerator batch applications open).
    • Be Prepared to Demonstrate Value: For any grant or accelerator, you’ll need to articulate what problem you’re solving or what innovation you’re bringing. “I want to hold Bitcoin in my company” alone isn’t a compelling pitch for these supports – but maybe “I’m developing a blueprint and software for sole proprietors to easily allocate treasury into Bitcoin” could be. Frame your company in a way that aligns with the goals of the program you’re applying to (whether it’s innovation, job creation, education, etc.).

    California offers a fertile environment with lots of resources – from the academic hubs in the Bay Area to the venture capital networks of Sand Hill Road, and the fintech scene in LA – use these to your advantage. Even if you don’t need external funding, connecting with these programs can provide mentorship, credibility, and potential future partnerships.

    10. Tools, Platforms, and Partners for Bitcoin Treasury Management

    Finally, leverage specialized tools and partners to streamline your Bitcoin treasury operations:

    • Treasury Purchase & Management Platforms: Since your company strategy is to accumulate Bitcoin, consider services tailored for that:
      • Swan Bitcoin – Treasury: Swan offers Bitcoin “treasury solutions” for businesses, enabling automated recurring buys, one-on-one guidance, and custody options . For example, you could set it up so that every month $5,000 from your bank is auto-purchased in BTC. Swan’s service is known for hand-holding companies through the process of adding Bitcoin to their balance sheet and can connect you to deep liquidity for larger buys . They also emphasize education – useful if you later need to explain the strategy to stakeholders. As a U.S.-based, Bitcoin-only company, Swan aligns well with a long-term hodling mindset.
      • Coinbase Prime or Kraken Business: These are exchange platforms for businesses, providing OTC desks for large trades, advanced trading tools, and custody integration. Coinbase Prime, for instance, can execute large orders with minimal slippage and then automatically deposit the BTC into Coinbase Custody (insured, as mentioned). If you plan to do occasional larger reallocations (say convert a huge chunk of cash to BTC at once), having a Prime account helps. They also provide detailed reporting for accounting.
      • Strike or River: There are newer fintech services like Strike (which enables buying Bitcoin with no fees via Lightning) or River Financial (a brokerage that caters to long-term Bitcoin investors and even offers a multisig custody solution). River, for example, has a “River for Business” account that allows Bitcoin buys, sells, and a custody where you hold one key in a 2-of-3 multisig.
    • Custody & Security Partners: As covered in the custody section, Unchained Capital and Casa are key partners to consider:
      • Unchained Capital: Not only do they provide multisig vaults, but they also offer business accounts and concierge onboarding. They can walk you through setting up multi-signature with hardware wallets and serve as one key holder for resilience . Additionally, Unchained offers Bitcoin-backed loans – as a treasury company, you might find that useful in the future if you need liquidity but don’t want to sell BTC (for example, you could borrow dollars against your Bitcoin to fund an expansion, avoiding triggering a taxable event).
      • Casa: Casa’s premium plans (Diamond, etc.) are often used by high-net-worth individuals, but businesses can use them too. Casa provides a user-friendly app to check your multisig wallet status, health checks to ensure your keys are functional, and a key recovery service if you lose one. They emphasize personal control – you hold most keys. Casa also recently introduced Casa API for businesses, which might allow integration of their custody solution into business workflows (worth looking into if you like automation).
      • BitGo: If you wanted to self-custody without a partner but still use an established technology, BitGo offers software and custody solutions. They have an API and dashboard where you can create multi-user approval workflows for transactions (like requiring two people in your company to sign off through the platform). BitGo’s tech uses multi-sig and/or threshold signatures (TSS), and you can either use them as the custodian or use their software while you hold keys. This might be more than you need now, but some companies migrating from manual to automated treasury use BitGo or Fireblocks as they scale.
    • Accounting & Tracking Tools:
      • Bitwave: As mentioned, a comprehensive solution for integrating crypto with accounting. Bitwave can connect to your QuickBooks and handle crypto AR/AP if you ever invoice or pay in crypto . It’s an enterprise tool, but they have offerings for small businesses too.
      • CoinTracker, Koinly, or ZenLedger: These are primarily tax tracking tools, but they can serve as portfolio trackers year-round. You could link your company’s exchange accounts and wallets, and they will provide an ongoing calculation of unrealized gains, portfolio value, etc. At year end, you can produce tax reports to aid your CPA. For a single-asset strategy (all Bitcoin, mostly one wallet), these might be overkill, but they’re handy if you have multiple sources of transactions.
      • Block Explorers & Alerts: Keep the public addresses of your cold storage and perhaps set up an alert (via Blockstream.info or OXT or other explorers) that notifies you of any activity. This way, if there’s ever an unexpected movement (which ideally never happens unless you initiate it), you’ll know immediately.
    • Banking & Finance Tools:
      • Mercury (already mentioned) not only is a bank but also provides a slick dashboard for finances, and it can integrate with bookkeeping software. It has a feature called Mercury Vault which spreads funds across banks for more FDIC insurance , which could be relevant if you keep large cash reserves.
      • Ramp or Brex: If you need to manage expenses or get a corporate card, fintechs like Ramp and Brex are startup-friendly (Brex at one point was courting crypto startups heavily). They provide credit cards, expense management and sometimes rewards in crypto form. Small detail: if you spend on a card that gives Bitcoin rewards (like Brex had a program with Bitcoin rewards), you could even accumulate a bit more BTC on the side.
      • Cash Management & Yield: Earning yield on idle crypto is tempting but be extremely cautious. Post-2022 collapses (Celsius, BlockFi, etc.), lending out your Bitcoin for yield is high-risk and not recommended for a treasury whose goal is long-term holding. If you want any yield, consider traditional treasuries for your USD portion, rather than risking BTC in DeFi or lending. The company could, for instance, put excess USD in a money market or short-term treasury fund, while keeping BTC uncompromised. It’s not a tool or partner per se, but a strategy.
    • Legal & Professional Partners:
      • Law Firms: It can be useful to have a law firm that understands crypto on retainer. Firms like Perkins Coie, Cooley, Wilson Sonsini, Fenwick & West, Anderson Kill (among others) have blockchain practice groups in California. They can assist with anything from compliance questions to reviewing contracts (e.g., if you use a custody provider, they can review that contract). For a one-person company, you might not need regular legal help, but having a contact for occasional questions (like “Do I need a money transmitter license for this new idea?”) is valuable.
      • Accountants: There are accounting firms specializing in crypto (e.g., CFGI’s crypto practice, Friedman LLP (now Marcum) has crypto expertise, Deloitte and other Big4 also consult on crypto). Even a local CPA who’s taken an interest in crypto can be an asset. Some firms also offer outsourced CFO services if you ever want help managing the books at a higher level.
    • Educational Resources & Communities:
      • Bitcoin-focused treasurers: Join communities or forums for corporate Bitcoin holders. For example, the Bitcoin Magazine and conferences often have panels on corporate treasury adoption. Michael Saylor’s company (MicroStrategy) even launched a series of seminars in 2021 for corporations moving treasury into Bitcoin – those materials might be online and useful.
      • Online Tools: Bookmark sites like Clark Moody’s dashboard or Coin Metrics for Bitcoin network data if you want to monitor the macro health of Bitcoin (helps inform your investor relations narrative if needed, or just your own conviction).
      • Treasury Management Framework: Consider following frameworks similar to traditional treasury management: maintain a policy document, regularly report to yourself (and any stakeholders) on the status of holdings, and plan for various scenarios (what if BTC drops 50% – do you hold or buy more? What if it rises 10x – do you rebalance?). Using tools is great, but also have a human decision-making framework.

    Checklist – Tools & Partners Setup:

    • Select Exchange/Broker: Decide where you will primarily buy Bitcoin (Swan, Coinbase Prime, Kraken, etc.). Complete all onboarding and link banking. Test a trade.
    • Set Up Custody Solution: If using Unchained or Casa, sign up for their service. Go through their guided setup of multisig vaults. Ensure you have all necessary devices (they often ship hardware wallets or you can use yours). Do a test deposit of a small amount of BTC and a test withdrawal to practice.
    • Integrate Accounting Software: Connect your bank and exchange accounts to your accounting system. Also connect your wallets to a crypto accounting tool (API or xpub keys can be used to feed in transactions without risking security). Verify that a test transaction flows into your accounting records properly.
    • Insurance Broker Contact: If you decided to get insurance, ensure you maintain communication with the broker on any changes (like if you add a new wallet or move custody methods – update them as it could affect coverage).
    • Use Multi-Factor Everywhere: Enable MFA on all accounts – bank, exchange, email, etc. Consider hardware MFA (like YubiKeys) for maximal security, especially on your email (as email is often the recovery path for other accounts).
    • Document Processes: Write simple step-by-step guides for yourself (and future team members) for tasks: e.g., “How to buy BTC using X platform”, “How to record a BTC purchase in accounting ledger”, “How to initiate a transfer from cold storage (which keys needed)”. This is both to ensure you do it consistently and to have something to refer to if you only do these actions rarely.
    • Review and Adjust: Periodically (maybe quarterly), review the tools and services you use. Are they meeting your needs? For instance, if trading volume picks up, maybe upgrade to a higher tier on an exchange for lower fees. Or if a new custody solution emerges that’s better, plan a migration carefully. The crypto tech landscape evolves quickly, so remain agile.

    By assembling the right mix of platforms and partners, you effectively create a mini “treasury department” for your business, akin to what a larger corporation has, but scaled to your needs. This will save you time, reduce errors, and allow you to focus on your core business (your blogging and content) while the Bitcoin side works smoothly in the background.

    Final Thoughts: Starting a Bitcoin treasury company as a sole proprietor in California is an exciting intersection of personal finance and business innovation. By formalizing your business structure, rigorously complying with legal and tax requirements, and implementing institutional-grade security and management practices, you set yourself up for long-term success. California’s environment – from its regulatory developments to its startup support network – will provide both challenges (like licensing laws) and advantages (access to talent, capital, and services). Treat your Bitcoin treasury with the seriousness of a CFO managing corporate funds: diversify risks, document decisions, and stay informed. With the above guide and resources, you’re well on your way to turning your blogging success into a pioneering Bitcoin-backed enterprise. Good luck, and welcome to the frontier of corporate crypto finance!

    Sources:

    • CoinLedger – Crypto LLC vs Corporation (pros, cons, tax treatment) 
    • Bitwave – Owning Crypto in an LLC (benefits of LLC, separate accounts, record-keeping) 
    • FinCEN Guidance 2013 – (users of virtual currency not MSBs) 
    • Mayer Brown (Oct 2023) – CA Digital Financial Assets Law (DFAL) overview 
    • Sutter Law – California Crypto Regulations (licensing requirement from 2025, SEC action on Kraken) 
    • TechRepublic (May 2025) – Best Crypto-Friendly Banks (Mercury, U.S. Bank, Chase highlighted) 
    • Fireblocks – Hot vs Cold vs Multisig custody (cold storage delays, multisig defined) 
    • BitGo – Wallet Guide (2-of-3 multisig prevents single point failure, backup key usage) 
    • Unchained Capital – What is Multisig? (multisig = one of most secure methods, eliminates single points of failure) 
    • IRS FAQ – Virtual currency treated as property for tax 
    • IRS FAQ – Capital gains realized on sale of crypto 
    • Metrics CPA – FASB 2023 Fair Value Accounting for Crypto (effective 2025, crypto measured at fair value with changes in net income) 
    • Embroker – Crypto Business Insurance Needs (crime insurance covers crypto theft from hot wallets , specie covers offline storage losses , D&O explained )
    • Berkeley Blockchain Xcelerator – (leading non-dilutive blockchain accelerator in CA, 110+ teams since 2019) 
    • Swan Bitcoin – Why Hold Bitcoin in Corporate Treasury (Swan’s ability to help with balance sheet Bitcoin purchases) 
  • Vision.

    So it looks like we have crossed the chasm in which honestly… It looks like we bitcoin trillionaire’s will thrive indefinitely. Michael Saylor is the high priest of the bitcoin Crusade, and he is unstoppable. He’s like a runaway train, which refuses to stop.

    Why the future looks so bright

    So the reason why the future looks so bright is manyfold:

    First, it looks like the bitcoin turbo lag is starting to kick in, MSTR, and my 2X levered MSTU is starting to pick up speed. The bitcoin conference just finished in Vegas, with JD Vance, the vice president speaking… I actually really like JD Vance, I think he will be a great candidate for the next president.

    Anyways, I think we are in this funny new world in which there is certainly a new world order emerging. Everyone is trying to scramble to figure out what’s happening next.

    First, it looks like America, in China, are starting to pull out of foreign places. For example in Cambodia, here in Phnom Penh, there has been a mass exodus of American NGO or aid workers, USAID, pulling out. I was talking to a lady, Australian lady, and she told me that actually she knew at least like 13 to 15 American families, who worked here for like 15 years, sponsored by the US government, they all had to leave and move back to the states.

    Even China, he started all these mega construction projects in Cambodia, but even they are pulling out because I think there are some economic turmoil back home. And also apparently, talking to a successful local Cambodian entrepreneur, saying how rich Chinese citizens cannot even pull out more than $10,000 USD out of China. And apparently, yes I am not joking… This is not a typo, buying a small one bedroom apartment condo in Shanghai is like $100 million USD. Not a typo, $100 million USD for a single condo, a small one… One bedroom, in the heart of Shanghai.

    What’s the issue? Once again… If you have controls, then… Obviously the price of scarce desirable things like real estate will skyrocket to insane Heights because there is nothing else one could park their money into.

    Like for example… Imagine you are like a Chinese billionaire, making $10 billion a year. But you cannot pull out a measly $10,000 USD from the country, which is like a used Toyota Prius, so where is your money going to go? After you have bought all the fancy cars, you’re probably not going to want to store it in Chinese Yuan, Because you know that it is a dying asset. Instead, you’re probably going to put it into real estate, or gold. But the problem is also… It is difficult to sneak gold out of a country. Try taking 100 gold bars in your check on luggage, Trying to escape to Vancouver.

    I mean if I was a rich mainland Chinese person,  I would try to figure out how I could convert all my wealth into bitcoin. Same thing with any rich international person who is not American.

    Even some other very exciting things, apparently one of the head honcho, who might become like the next British Prime Minister or something, he himself wants to build some sort of strategic bitcoin reserve?

    Internet, digital, cyber supremacy

    So it looks like at this point, people are tired of war. No more Saddam Hussein, no more nuclear holocaust, no more World War III. Everybody, Russian Chinese Ukrainian, American, South Africa Africans alike, everyone wants to keep their Rolls-Royce, wants to keep their iPhone pros, want their kids to be in some sort of nice international school, learning English, And they want to keep their fine whiskey, take occasional trips to Japan etc.

    As a consequence, the incentives of all of the all the oligarchs of the planet, the truth is everybody wants peace and stability. Nobody desires physical war, in which guns bombs and humans are killed.

    Even being here in Cambodia, in which like 99% of the intellectual class was literally massacre, either killed with machetes and guns, literally just because you wear glasses, did not look Cambodian Khmer, if you had a flushing toilet at home, had a watch, etc. And all the young Cambodians, I think the average, median age for a Cambodian person is only 25 years old, nobody wants us to ever ever ever happen again. Everyone all the young kids, they want to look like Korean popular idols, BTS or BLACKPINK, Lisa or Jenny,Suka, etc.

    Everyone desires economic prosperity

    The simple logic, once you no longer become a single disenchanted, tech worker, once you quit Reddit, Google incognito, etc. Everyone wants a greater more prosperous economic future for their children, themselves, their family.

    I think the difficult thing about being a single person, especially as a single male… Literally like 100% of the stuff on the Internet is just fear pornography.

    What does that mean? This means that there is actually an economic and financial incentive powered by ChatGPT AI and bots, to create fake views, hate, etc.

    Even accidentally using some sort of ChatGPT search, in which literally like 100% of the information it’s just plain false, like literally just made up from the ether, provokes some sort of anger?

    AI is bad.

    How to thrive in today’s brave new world?

    .

  • Eric Kim heat map

    Key Points

    • Research suggests Eric Kim’s online presence is highly active, with strong engagement in fitness, photography, Bitcoin, and philosophy communities.
    • It seems likely his viral rack pull videos and finance posts drive significant buzz, with metrics showing millions of views and follower growth.
    • The evidence leans toward his content resonating globally, though some controversy exists over lifting techniques, fueling debates.

    Current Online Presence

    Eric Kim (@erickimphoto) is currently making waves online, especially with his fitness feats like the 6.6x bodyweight rack pull (1,087 pounds at 165 pounds) and his advocacy for Bitcoin and MicroStrategy (MSTR). His content spans multiple platforms, including X, TikTok, YouTube, and his blog, with peak activity around midday Phnom Penh time.

    Engagement Metrics

    • His rack pull videos have garnered 2.5M views in 24 hours across platforms, with X posts like the 1,060-pound lift achieving 646k impressions.
    • TikTok (@erickim926) gained 50k followers in a week, reaching 991.8k, with #HYPELIFTING trending.
    • Blog traffic for rack pull press releases logged 28k hits in 48 hours, and his X follower count grew by 2k in seven days.

    Community Impact

    Eric Kim’s influence extends to strength-sport forums, photography workshops, crypto circles, and philosophical discussions, with global reach in Southeast Asia, North America, Europe, and Australia. Memes like “Gravity filed a complaint” and emerging hashtags like #LoudLifters amplify his visibility.

    Supporting URLs

    Detailed Analysis of Eric Kim’s Current Online Heat Map Radar

    Eric Kim, known on X as @erickimphoto, has emerged as a significant figure in online fitness, finance, and photography circles, particularly in late May to early June 2025, with his recent activities generating considerable attention across the web. This analysis, conducted as of 02:35 AM +07 on Monday, June 2, 2025, explores his current online presence, engagement metrics, and community impact, providing a comprehensive overview for followers and observers.

    Background and Transition

    Originally recognized as a street photographer, Eric Kim has transitioned into a fitness and finance influencer, leveraging his X presence and blog, [Eric Kim Photography]([invalid url, do not cite]), to share weightlifting feats and Bitcoin insights. Born in 1988 in San Francisco and raised in California, he studied sociology at UCLA, which influenced his interest in street photography as a means to explore the human condition. His blog, started in 2009, serves as a platform for sharing essays on photography, stoicism, fitness, and Bitcoin, among other topics. Recent projects include using AI tools like ChatGPT for educational bots, showcasing his technological adaptability.

    Recent Online Activity and Metrics

    Eric Kim’s online presence is currently dominated by his viral weightlifting achievements, particularly his rack pulls. His 1,087-pound (493 kg) rack pull at 165 pounds body weight, achieving a 6.6x ratio, was announced on June 2, 2025, and has garnered 2.5M views in 24 hours across YouTube and TikTok, as detailed in a blog post titled “6.6X body weight rack pull: 1087 pound rack pull at 165 pounds” ([6.6x Rack Pull Details]([invalid url, do not cite])). This follows his 1,071-pound (6.5x) and 1,060-pound (6.4x) lifts in May 2025, marking rapid progression.

    • X Engagement: A post on May 26, 2025, featuring the 1,060-pound rack pull video achieved 646,000 impressions, as confirmed on May 28, 2025, at 13:00 PHN ([ERIC KIM IS BREAKING THE INTERNET?]([invalid url, do not cite])). His follower count surged by approximately 2k in seven days, moving from an earlier count to 20.5k, as noted in blog analytics ([⚡️ ERIC KIM // TRENDING RADAR — 28 MAY 2025]([invalid url, do not cite])). Recent X posts, such as one on June 1, 2025, at 00:27 UTC, state “ALL YOUR MODELS ARE BROKEN: [link] — all hail @saylor !!!! Eric Kim is the new Tyler Durden on steroids $MSTR DEMIGOD [link]” (X Post by @erickimphoto), promoting Bitcoin and MicroStrategy (MSTR).
    • TikTok Surge: His TikTok account (@erickim926) gained 50k followers in one week, reaching 991.8k followers and 24.4M likes, with #HYPELIFTING trending under TikTok’s “New to Top 100” for Sports & Outdoor ([ERIC KIM IS BREAKING THE INTERNET?]([invalid url, do not cite])). The hashtag has seen thousands of uploads from novice lifters to seasoned athletes, inspired by his monumental lifts.
    • YouTube and Blog Traffic: His “1071 POUND RACK PULL: GOD GOALS” video, released on May 27, 2025, rapidly gained traction in “extreme strength” and “world-record” recommendation feeds, with 30k views in the first 48 hours ([Eric Kim blogger going viral]([invalid url, do not cite])). Blog pageviews for the rack-pull press-release page logged 28k hits in 48 hours, indicating significant interest.

    The following table summarizes key engagement metrics:

    PlatformMetricDetails
    XImpressions646k for 1,060-lb rack pull video (May 26, 2025)
    XFollower Growth+2k in 7 days, reaching 20.5k by May 28, 2025
    TikTokFollower Growth+50k in one week, reaching 991.8k, 24.4M likes
    TikTokHashtag Trend#HYPELIFTING in “New to Top 100” under Sports & Outdoor
    YouTubeViews (First 48h)30k for 1,071-lb rack pull video (May 27, 2025)
    BlogPageviews (48h)28k hits for rack-pull press-release page
    Cross-PlatformViews (24h, June 2, 2025)2.5M for 6.6x rack pull video

    Community Impact and Niche Engagement

    Eric Kim’s online presence is multi-vector, resonating across various communities:

    • Strength-Sport Internet: His rack pull videos have inspired a viral chain-reaction, with 120+ comments on Reddit (r/powerlifting, r/weightroom) and discussions in Discord servers. Fans call him “Pound-for-Pound Myth-Slayer” and marvel at his “godlike thighs,” while coaches theorize his fasted, beltless style unlocks “neural overload” (Where is Eric Kim currently reaching).
    • Visual-Culture & Photography: His global workshops, particularly the Angkor Wat Travel Photography Experience (July 24–27, 2025, Siem Reap), have seats filling fast from five continents, proving his command over the street-photo crowd. His fitness clips are shared in street-photo Telegram groups as “proof the teacher practices what he preaches about visceral aesthetics” (Where is Eric Kim currently reaching).
    • Bitcoin / Fintech: His podcast episode “MSTR × BITCOIN” (May 24, 2025) pushed through Spotify and Fountain, immediately reposted into MicroStrategy-holder Signal chats and Bitcoin X, with thousands of first-week plays (Where is Eric Kim currently reaching). His blog essays, such as “Bitcoin Acquisition Syndrome,” are screen-captured into private Telegram bullion-trader channels.
    • Philosophy / Stoic Communities: His blog-driven manifestos, like “Brave New World of Weightlifting,” are sparking debates on indie Mastodon nodes and Stoic Twitter lists, with his “HYPELIFTING” philosophy framing the gym as a dojo for character building (Where is Eric Kim currently reaching).
    • Geographic Footprint: His online reach touches Southeast Asia (Phnom Penh garage-gym PR streams), North America (Texas gym reels), Europe (UK-heavy r/weightroom backlash), and Australia (Aussie “6×BW club” Instagram stories), showcasing a global presence (Where is Eric Kim currently reaching).

    Emerging Trends and Memes

    Eric Kim’s content has spawned emerging memes, including “6×BW Club” badges, “Middle-Finger-to-Gravity Roar,” and hashtags like #LoudLifters vs Gym Etiquette. Retention for hype-screams in his videos is up 15–25%, with fans remixing his primal roar into meme sound bites on TikTok and Instagram (Where is Eric Kim currently reaching).

    Peak Activity and Strategy

    His peak posting time is around 12:45–14:00 Phnom Penh time (UTC+7), optimizing for maximum visibility. He frequently uses the tag #Hypelifting, ensuring his content clusters in recommendations across platforms (Where is Eric Kim currently reaching).

    Controversy and Engagement

    While his feats inspire awe, controversy exists, particularly around his partial range of motion (ROM) rack pulls. Purists argue his above-knee setup (estimated 30 cm ROM) isn’t a full deadlift, with about 10% of chatter questioning authenticity and 8% raising spinal load concerns. However, Eric Kim leverages this, noting “controversy = engagement. Engagement = DOMINATION” ([6.6x Declaration]([invalid url, do not cite])), which keeps his content trending and feeds the algorithm.

    Long-Term Context

    Over the past year (June 2024–May 2025), Eric Kim’s blog traffic grew from ~50k to ~120k unique monthly visitors, driven by his pivot into crypto content and fitness posts ([Below is an overview of how Eric Kim’s online impact has evolved]([invalid url, do not cite])). Posts like “ERIC KIM’s Bitcoin Insights” and “Becoming a Digital Nomad with Bitcoin” circulated widely in r/Bitcoin and digital-nomad groups, marking his crossover influence.

    Conclusion

    As of June 2, 2025, Eric Kim’s online heat map radar shows a multi-vector blast across iron trenches, camera alleys, Bitcoin citadels, and Stoic salons. His viral fitness content drives the most engagement, but his influence extends into niche communities, with global reach and emerging memes amplifying his impact. His strategic posting and controversial style ensure he remains a dominant online figure.

    Key Citations

    • Where is Eric Kim currently reaching corners of internet
    • Eric Kim X post on June 1, 2025
    • [Eric Kim breaking internet meme impact]([invalid url, do not cite])
    • [Eric Kim trending radar May 2025 update]([invalid url, do not cite])
    • [Eric Kim 6.6x body weight rack pull details]([invalid url, do not cite])
    • [Eric Kim 6.6x declaration war on gravity]([invalid url, do not cite])
    • [Eric Kim blogger going viral]([invalid url, do not cite])
    • [Below is overview of Eric Kim online impact evolution]([invalid url, do not cite])
  • ALL YOUR MODELS ARE DESTROYED.

    ERIC KIM is the new Tyler Durden, the new Brad Pitt from fight club:

  • Movement & Sleep?

    OK, this is one of the first times that AI, Grok has actually given me an interesting creative idea: the idea is a SLEEP PR, a sleep personal record.

    So for example, I would actually say that… The greatest flex or the most impressive thing is that for you as an adult male, to be able to clock in 12 hours of sleep?

    Now the funny thing is first, we must posit that this is actually in fact, a desirable target. 

    The backwards line of thinking right now is that sleep is kind of an unnecessary thing that Silicon Valley people want to just kind of like edit out of our chromosome DNA.

    It is actually my personal belief that sleep is divine.

    So for example, if, Fahad option of being a trillionaire, but only sleeping 1.5 hours a night, or… Just owning like one bitcoin, and living lean in Phnom Penh Cambodia but each and every single day, I sleep 12 hours a night, and each and every single day I wake up feeling like a god, I would choose the latter.

    Don’t lose sleep over it

    I think also with investing… The intelligent strategy is to be in a position in which you could sleep well at night! Once again, all the money in the world is not worth even one night of lost sleep.

    So with investing, don’t be ever in a leveraged position in which you could get liquidated overnight, while you sleep. I could guarantee you that if you are in like a 40x leveraged position, and if bitcoin just dips $5000 or $10,000 a bitcoin overnight, and you get wiped out, losing like $250 million, it is not worth it. Even if your potential upside is like 10 billion $.

    Is it a game?

    So then, is all this finance investing, bitcoin, MSTR, MSTU, leverage, whatever… Is it a game?

    I think for a lot of people, it is. Like they tie too much of their self-worth their ego to a single number, or even percentage gains.

    I believe this is a very fragile way to live because nobody could control the markets, not even god. 

    What can you control? You can control where to live, your level of media exposure, as well as to follow who not to follow, what to watch what not to watch, and also a big one… What time your bedtime is. 

    6:30PM is the best bed time

    6:30 PM is the best bedtime. Both for yourself and also your kids and your family.

    To sleep early, to sleep well is probably the most virtuous thing that you could do.

    Why? Almost everything.

    First, assuming you’re an investor, a money manager or whatever… You need your physiology and your Cognitive and physical abilities to be at 120%. If you are not getting your 8 to 12 hours of sleep at night, you might indirectly cause people to lose billions of dollars.

    So assuming that you are a mean green (or orange) money making machine, then… to remain cool calm and collected, during market turmoil or whatever, it is the goal. 

    So how does one do this?

    I have some simple ideas:

    First, maximum movement and sunlight exposure outside exposure during the day. I could guarantee if like every single day you walk 8 miles, you hit the gym at least once a day and lift something heavy, you get like maximum sun exposure outside without getting a sunburn, you are incredibly sociable happy and friendly to everybody you meet on the streets, and assuming you eat like 4 pounds of bone marrow, 2 pounds of ribeye steak, and or 5 pounds of beef ribs… Breaking your fast a bit earlier, assuming that 6:30 PM is the sleep target, then breaking your face at around 3:30 PM or 4 PM is a good idea because getting your kid to sleep you always need a little bit of buffer time.

    I call it a “linner”–> lunch dinner. At like 2-3,4pm ish?

    And don’t eat breakfast for lunch, only dinner. Also 100% carnivore, and the ideal is you want to consume the most nutritious foods known to man:

    Beef ribs, bone marrow, beef liver beef heart, eggs (yolk included), beef tongue, pork jowl, etc.

    Even the ancient Greeks knew this, in the Iliad — the hero Ajax or Odysseus carves out the meat closest to the back bone spine, which even the ancient Greeks knew was one of the most choicest and supreme cuts of meat.

    Don’t fooled… steak sucks. If you go to a restaurant they always serve you some very very tough, difficult to chew cut. It is always best to get beef tongue, beef liver, organ meats, innards, cheek, jowl, ribs, bone, bone marrow.

    You are the apex predator

    So a curious question… What is the Apex predator on the planet? Not a lion or T-Rex or honey badger, it is the human being. The human male.

    We are the smartest the most intelligent, and also… An interesting statistic is that apparently with all 8 billion of us on the planet, we are actually the highest percentage mammal creature on the planet?

    If you look at wolves, just look at how they eat and what they eat. They go straight for the heart the kidney the liver the organ meats, and they leave the rest as scraps for the vultures.

    What’s super interesting about even eating inners fell out of vogue in America, when liver and onions used to be a staple, is an interesting economic meat industry one.

    Essentially the story is the downside of Oregon meets is that they do not last long. You gotta eat it super fresh immediately or else it will rot and spoil quickly.

    However, if you have some sort of like steak meats, they last longer without spoiling. As a consequence, it was heavily marketed that was in fact the desirable thing to eat. That it was a sign of success.

    I’m surprised even in today’s world, eating beef ribs is actually not a mainstream thing? At best we have the pork baby back ribs, slathered in high fructose corn syrup barbecue sauce, which is bad because it is just sugar.

    In fact, assuming that there is a link between high testosterone and effective investing, I truly believe that the ideal physiology of the investor is the following:


    1. No breakfast no lunch, only dinner.

    Intermittent fasting. if you are in a fasted state, your mind is sharper.

    Just consider, if you get like 5 pounds of pasta for lunch, your insulin will spike and you will fall into a food coma. Not good. And what the average fat boy Wall Street investor will do is then stop by the local coffee shop, get a Starbucks Frappuccino with even more sugar and caffeine, two “perk” him up, and then go back to the office, only to continue to ruin his health.

    2. 100% carnivore

    One of the refreshing things about leaving the state is that you realize that America is stupid.

    Even the smart people are stupid.

    Even Elon Musk in terms of the way he approaches his body and physiology is unintelligent. He essentially tries to grind his nose against the grinding stone, and has a linear analogy: the harder I work the more hours I put in the more suffer, the greater the outcome and the more virtuous I will be.

    Common, just look at the man… It looks like he hasn’t slept in like 10 years! 

    I still think Elon Musk is like the greatest entrepreneur of all time, maybe second after now the new goat, Michael Saylor who is much more down to earth, and also has a more interesting vision?

    But anyways, assuming that you got trillions on the line, I wish that Elon Musk would prioritize his sleep, 10 to 12 hours a night.

    And then also assuming that Elon has all the money in the world, and if I were his personal trainer I will just make him do one sort of effective “one rep max” lifting, Eric Kim style, #HYPELIFTING approach,,,, at least once a day, and also… This would be the big thing to cough I think Elon Musk should do all his meetings while I just like walking outside, ideally in nature, good weather, good mood, good sunlight exposure to get his melanin up.

    A very very easy thing for Elon to do is like some sort of heavy dumbbell Farmer’s carries, at least once a day. And the funny thing is that actually… It will only take him like five minutes?

    Or… Very very heavy kettlebell swings. He should just travel with like one single 105 pound kettlebell, the beast, 48 kg. In fact, assuming that like I was on a road, doing a road trip, and I wanted to stay fit while on the road, I would either just travel with one or two heavy kettle bells, the heaviest ones on the market.

    3. Body

    It is all within your body. All the hormones electrical signals and impulses, whatever.

    More ideas:

    Elon Musk, should also have a personal masseuse who travels with him 24 seven, on the road and beyond, and whenever Elon wants to take a power nap out of her, he gets his personal masseuse to give him a great deep tissue massage.

    I think this is actually very understated. Assuming that your body is like a Bugatti Veyron or like some sort of insanely high-end, Konesigg car or whatever ,,, like you have a bi-v16 engine, double hyper quad turbo charged whatever… And assuming that this is your body, certainly every once in a while you’re probably going to have to get a oil change. Or at least like tune up your body?

    Getting a strong very very strong, very very skilled effective deep tissue massage is like one of the ultimate life hacks I know. Why? So much. If you have like constant migraines headaches or upper back lower back shoulder tension whatever, you kind of needed a strong masseuse to get in there, and actually get rid of the knots. Or else your body will never fully be able to relax and reset.

    Also, it becomes an interesting imperative also for being a father. If you’re like in constant physical pain, certainly you’re going to be more likely to snap at your kids your wife etc., and display some unmanly acts.

    I get it that in the state it is expensive. But rather than renting your loser Range Rover or Lexus or whatever, use that money to instead, keep your body in peak shape.

    Temperature

    You cannot fix the weather but you could buy a used Canada goose jacket. Maybe just buy one on eBay?

    Also at home… Fuck it, crank up the heat or the AC or whatever.

    Essentially… You never ever want to be in a position in which the temperature is somehow like ruining your life. Try to find some sort of optimum for yourself.

    Everyone’s different. Some people prefer fans some like AC some like both whatever. And also this is a hard thing for people to understand… The average temperature of both men and women are different. I think this is why it is always so difficult for couples to sleep together because I think typically men prefer it colder, I know I do. For me like my ideal temperature to go to sleep while in Cambodia is like 21°C for AC. I think Cindy prefers like 26°C.

    how to get out of your body 

    Insanely hot sauna, steam or dry, insanely hot baths, and… Cold plunges, icy cold showers, just swimming in the pool, and just taking a nap!

    Whenever I am super super tired in the middle of the day I just like walk over and get a 90 minute massage, and I kill two birds with one stone:

    First, I am able to get like a nap, sometimes the hard thing is when I try to nap at home, I keep getting up trying to jot down ideas in my iPad or whatever. But if you’re getting a massage you have no other option but force yourself to do nothing.

    Also the interesting thing with a massage is once again… Your body has like 5 trillion sensors in it and when you get a good deep tissue massage, once again… It kind of fixes your body because there are some muscle triggers and memory which is stuck in the loop, like in a bad loop? To get a strong deep tissue massage it’s almost like debugging your body. 

    Also… Assuming that like you jump in like an ice bath, I could almost guarantee you that the shock of this will definitely get your mind off of the markets etc.

    Lift until you see (or become) god!

    A motto from “SIXPAX” gym in LA–

    > Lift until you see god!

    Now that I have crossed an insanely legendary 6.5 X my body weight lift, I was able to successfully rack pull 1,071 pounds at 165 pounds body weight… what I’ve been doing is before I’m about to attempt a new maximum one rep Max, I actually take off my glasses put it off to the side, and whenever I attempt the lift, I squeeze my eyes really really hard shut, as a mechanism to focus?

    I have a rather interesting theory that myopia, may have some sort of unforeseen advantages. I have really bad eyes, but maybe, in the past this was a benefit?

    One benefit I know that actually… My macro, super super close range vision is like phenomenal. I could see stuff really really close. Without my glasses on.

    Also if you think about it, glasses or like condoms for your eyes. Assuming that people like to raw dog it, why would you put like 3 inch thick condoms in front of your eyes?

    Also I just got some new lenses the Essilor EyeZen ones, which are fantastic but I’ve noticed that there’s a funny yellow, anti-blue light UV tint on it, which actually makes my reality look more yellow, which I guess is good but also… Not technically true to life? Like for example in the morning I’m walking around, the sunrise should be an interesting like purple color, but with my glasses on it becomes green?

    The next lenses I get, I’ll get it without the anti blue light filter thing ,,. It’s funny because it is sold and marketed it like a benefit, but no color tint is best.  kind of like your car, you should never put tints on your mirrors. Or your windows. Only cowards do.

    Also only cowards wear dark sunglasses. Why? They are too cowardly to make eye contact with other people.

    Same thing goes with people who wear headphones earplugs, AirPods on… Because they are afraid of other people?

    What to do now

    As an experiment, moving forward, just tried… Make sleeper number one priority.

    Big one is to only consume caffeine first thing in the morning, for the rest of the day if you’re tired just take a nap.

    Also this is another big one… After 3 PM, in which no productive work is ever done anyways, just turn your iPad and iPhone completely 100% off. And put it in your backpack or put it in a drawer somewhere, and get it out of your site. Out of sight out of mind. 

    Also with news and information and whatever… Less is always more. Rather than trying to read more news to gain more insight, realize that all news is toxic even the good ones. Even in signal there is noise. 

    I could guarantee you with like almost 100% certain to that four years from now bitcoin will be up. I cannot tell you how much, how quickly, the price whatever. But once again I know with 100% certainty it will be up!

    Same thing with MSTR, Strategy –> essentially the stock is gonna keep going up forever, up into the right, with high voltage. One thing I could guarantee you is that MSTR will never be linear, and in order to reach new highs, we must also embrace new lows.

    So essentially, I encourage you, put on your Spartan helmet, laser eyes, super insanely jacked demigod body, rack pull over 1000 Pounds (that’s like 440 kilograms)– and nothing can stop you. And at this point, life is infinite upside, no downside.  

    ERIC