When Coinbase changes strategy. In the world of corporate cryptocurrency, there are several strategies and one of them is to accumulate bitcoin, As Michael Saylor does with Strategy. However, this approach is not without risks, and even the giants of the industry like Coinbase reflect on it twice before taking the plunge.
- Coinbase considered but finally refused to follow Michael Saylor’s risky strategy of investing massively in Bitcoin.
- Brian Armstrong stressed that this decision was aimed at protecting the financial position of the company rather than risking its cash.
Coinbase: a cautious giant against Bitcoin
Brian Armstrongthe CEO of Coinbase, recently revealed that his company had considered adopting an investment strategy in Bitcoin similar to that of Michael Saylor. As a reminder, the latter transformed Strategy into a kind of Bitcoin safe, accumulating billions of dollars into BTC.
« There have been times in the past 12 years we thought: should we put 80 % of our assessment in cryptocurrencies, specifically in bitcoin? » « Said Armstrong in a video call with Bloomberg.
But why Cornerbasewhich already has nearly 9,500 BTC (approximately $ 988 million), did he not follow this path? The answer is simple: the risk.
Brian Armstrong explained that this strategy could have jeopardized the company’s cash position and potentially kill the Crypto Stock Exchange: « We made a conscious choice concerning the risk »he added.
Michael Saylor and his divided strategy
The strategy of Michael Saylor To his followers and many companies have started to copy his approach, funding purchases of Bitcoin by the sale of actions and debts. The idea is that the appreciation of the price of Bitcoin will boost the course of their shares.
Thus, according to the site Bitcointreasuriesmore than 100 public enterprises now have Bitcoin, alongside 40 fundraisers negotiated on the stock market, 26 private companies and 12 nation states.
However, Alesia Haas, financial director of Cornerbasesaid that the company did not want to be perceived as a direct competitor of its customers in terms of cryptocurrency performance even if Coinbase has announced the purchase of an additional $ 153 million of cryptos assets in its report on the first quarter results. « Rest assured, we don’t stop there »said Alesia Haas.
Although Coinbase has chosen an approach more prudentthis does not mean that the company turns away from Bitcoinbecause with nearly $ 1.3 billion in cryptos assets, the majority of which are in BTC, Cornerbase There is one of the largest holders among the listed companies on the stock market.
In the end, Coinbase’s decision not to blindly follow Mr. Saylor’s strategy shows that even in the volatile world of cryptocurrency, it is sometimes better to play the card of prudence. After all, as the proverb says, « Do not put all your eggs in the same basket ». SO, Are you more Brian or Michael?