A seismic shift in the crypto world as Michael Saylor and Phong Le consider partially liquidating their Bitcoin reserves. With cryptic tweets and revealing interviews, the fortress holding 650,000 Bitcoins appears to be under market pressure. An unprecedented scenario unfolding in the world of Bitcoin maximalism.
The infinite “HODL” strategy, the hallmark of the company rebranded as Strategy, is facing its greatest test. With a war chest of nearly 650,000 BTC, the firm has become a true proxy for Bitcoin on Wall Street. However, the recent market correction, dragging BTC’s price below the psychological threshold of $90,000, has significantly weakened the group’s financial metrics.
The crux of the matter lies in the mNAV (market-adjusted net asset value). This ratio, closely monitored by institutional investors, now hovers dangerously around 0.96x. In concrete terms, MSTR stock threatens to trade below the actual value of the Bitcoins it holds. Adding to this increased volatility is an immediate liquidity constraint: dividends on preferred shares, ironically nicknamed “FCKED” by Saylor, must be paid by year’s end.
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It was during an appearance on the What Bitcoin Did podcast that the taboo was broken. Phong Le, CEO of Strategy, admitted for the first time that selling Bitcoin was no longer an absolute prohibition, but a last resort option in case of a liquidity crisis. If the mNAV were to collapse sustainably below the threshold of 1 and traditional financing channels (debt, equity) were to dry up, the company would be forced to liquidate assets to pay its dividends.
This statement marks a major narrative shift. Until now, the doctrine was simple: accumulate, never sell. By introducing this variable, management is attempting to reassure about its solvency, but risks triggering a self-fulfilling bearish sentiment. If Bitcoin were to test support levels below $80,000, the mNAV could plunge to 0.9x, potentially forcing Strategy to flood the market with massive supply, creating a cascade of liquidations.
As is his custom, Michael Saylor added fuel to the fire via X. His November 30th tweet, proposing to add “green dots” to his famous tracker, triggered a wave of FUD. While orange dots historically symbolize the firm’s aggressive purchases, the introduction of green is being interpreted by part of the community as a precursor signal to sales.
Speculation is rife. For the most pessimistic analysts, it’s an admission of failure: Saylor is preparing the psychological groundwork for partial capitulation. Others, more measured, see it as a complex financial maneuver, potentially linked to stock buybacks to support MSTR’s share price and artificially boost the mNAV. Whatever the case, uncertainty reigns and volatility on MSTR stock is likely to be explosive when markets open.
The stakes extend far beyond the company itself. Strategy holds a significant portion of the circulating supply. A forced sale, even partial, could absorb the available liquidity on order books and break the current bullish structure. Investors must now monitor the mNAV ratio with extreme vigilance: it has become the new key indicator of global crypto market health.
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Charles Ledoux is a Bitcoin and blockchain technology specialist. A graduate of the Crypto Academy, he has been a Bitcoin miner for over a year. He has written numerous masterclasses to educate newcomers to the industry and has authored over 2,000 articles on cryptocurrency. Now, he aims to share his passion for crypto through his articles for InvestX.
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