Cryptocurrency

Michael Saylor Bets Big on Bitcoin and Steps Down as MicroStrategy CEO

The announcement follows a report of the company carrying a $917 million USD impairment charge.

Cryptocurrency

Michael Saylor Bets Big on Bitcoin and Steps Down as MicroStrategy CEO

The announcement follows a report of the company carrying a $917 million USD impairment charge.

According to MicroStrategy’s Q2 earnings report, released Tuesday, August 2, the company took a non-cash digital impairment charge of $917.8 million USD. The charge is related to its Bitcoin holdings and reflects the loss of the recoverable value of an asset — though it does negatively impact the company’s books in the short term, its executives seem unbothered.

Additional news shared in the report is that the Company’s Founder, Michael Saylor, will step down as CEO but maintain his role as Chairman of the Board of Directors and as an executive officer of the Company — Saylor says the decision is unrelated to the current state of Bitcoin according

Taking Saylor’s place will be Phong Le, who currently serves as the Company’s President, he will also serve as a member of the Board of Directors.

“I believe that splitting the roles of Chairman and CEO will enable us to better pursue our two corporate strategies of acquiring and holding Bitcoin and growing our enterprise analytics software business,” said Saylor, highlighting that “as Executive Chairman I will be able to focus more on our Bitcoin acquisition strategy and related bitcoin advocacy initiatives, while Phong will be empowered as CEO to manage overall corporate operations.”

In addition to Le, Andrew Kang is being appointed as Senior Executive VP and CFO, in what Saylor described on the earnings call as an expansion of the management team that was years in the making.

On the same call, Le stated that his appointment would not change the Company’s strategy or outlook on Bitcoin and that this is a “business as usual transition.”

Hours after the report, Saylor shared a chart to Twitter showing the increased enterprise value of MicroStrategy in comparison to when it first adopted a Bitcoin strategy.


The company’s newly appointed CFO, Kang, also shared support for the Company’s Bitcoin strategy, stating that it has “more than sufficient collateral for any price volatility.”

At the end of June, the Company publicly affirmed its stance on Bitcoin with the acquisition of another $10 million USD worth of the cryptocurrency. As of June 28, its total holdings equal 129,699 bitcoins, acquired at an approximate price of $3.98 billion USD.

Elsewhere in crypto, Robinhood’s $30 million USD regulatory fine may already be a lesson learned.

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