Earlier this week, Bitcoin, the largest cryptocurrency asset, saw a steep decline following the Japanese stock market crash, demonstrating the volatile nature of the asset during macroeconomic turmoil. Following the recent market turmoil, Michael Saylor, the co-founder and Executive Chairman of popular company for business information, MicroStrategy has taken the initiative to address the growing concerns over Bitcoin’s volatility.

Michael Saylor sees Bitcoin’s volatility as a feature, not a bug

MicroStrategy co-founder Michael Saylor recently shared his insights on Bitcoin volatility interview on Bloomberg Open Interest. His insights are intended to reassure investors about the viability of using Bitcoin as a hedge against economic volatility and a value storage.

In the interview, Saylor, who is known as a proponent of the crypto asset, reiterated his strong confidence in BTC’s long-term potential despite its current volatility. Elaborating on the topic, Saylor noted that the first thing the industry needs to understand is that Bitcoin’s volatility is a feature, not a bug.

According to the co-founder, BTC’s short-term volatility often leads to massive global credits and liquidations. However, in the long term, it is a superior asset in terms of performance and sustainability. Saylor believes the asset is volatile due to its functionality, as the physics and politics of BTC have closed and paralyzed all other markets.

Saylor discussed its potential as a store of value, emphasizing its superiority over physical capital or financial capital. The MicroStrategy CEO sees BTC as a better store of value because it offers financial freedom from counterparties.

He stated:

The reason it moves is because it is functional. It is digital capital and it is superior to physical capital or financial capital. Bitcoin is a capital investment that you can hold for decades and that no company, competitor, counterparty or country can take away from you.

As a result, he believes the digital asset can act as generational wealth within the retail and institutional levels, while offering personal trust funds. Given the decentralized nature of the coin, Saylor argues that Bitcoin is of utmost importance to any other long-term capital management in the world, despite its volatility.

It is always good to invest in BTC

When asked what is the right time to buy BTC, Michael Saylor stated that there is never a bad time to acquire the asset, comparing it to investing in real estate in Manhattan. He further emphasized MicroStrategy’s BTC investment strategy, noting that the company generally buys Bitcoin as soon as the opportunity arises and sufficient capital has been raised.

While Saylor believes there is no perfect time to buy BTC, he stressed the importance of understanding seasons and market trends to navigate the crypto asset’s price fluctuations. As investors navigate these volatile times, Saylor’s statements provide an important perspective on Bitcoin’s long-term value.

Main image from YouTube, chart from Tradingview.com