MicroStrategy Considers Selling Bitcoin, What’s the Reason?

Jakarta, Pintu News – In early December, the crypto market experienced a significant drop, triggered by the possible sale of Bitcoin by MicroStrategy. This added to concerns in an already fragile market, especially after the company admitted that a BTC sale could happen if certain financial conditions were met.

Possible Bitcoin Sale by MicroStrategy

MicroStrategy, the world’s largest corporate Bitcoin holder, indicated that they might sell part of their Bitcoin holdings in the event of a financial crisis. CEO Phong Le stated that there are two conditions that must be met before a sale takes place. First, MicroStrategy’s share price must fall below 1x mNAV, which indicates that the market values the company lower than the value of the Bitcoin it holds.

The second condition is the company’s inability to raise capital through equity or debt. If both of these conditions are met, MicroStrategy may have no choice but to use their Bitcoin stock to fulfill financial obligations. This scenario is considered unlikely under normal conditions, but could happen during a deep liquidity crisis.

Why MicroStrategy Might Sell Bitcoin

Analysis from AB Kuai Dong and Larry Lanzilli shows that MicroStrategy’s mNAV premium, which is the company’s main strength, is almost gone. On November 30, mNAV was at around 0.95, only slightly above the danger zone of 0.9.

Read also: Peter Schiff Calls Bitcoin a Fake Asset, Gold and Silver Surge?

If this value falls below 0.9, the company may need to use Bitcoin to cover obligations such as a preferential annual dividend payment of $750-$800 million. With MSTR stock down more than 60% from its peak, raising new capital is becoming increasingly difficult.

Market Reaction and Broader Implications

MicroStrategy’s 649,870 BTC position is considered a large institutional pillar of confidence. With a clear sell threshold now in place, traders will be closely watching the 0.9 mNAV line as a new structural risk point.

Crypto analyst Jacob King noted that Michael Saylor even hinted at this change by talking about “adding a green dot,” which many saw as a subtle signal that selling was now on the table.

Conclusion

MicroStrategy’s admission of a possible Bitcoin sale marks a major shift in the company’s strategy and adds to the uncertainty in an already volatile crypto market. Investors and traders must now consider these new risks when making investment decisions in the crypto market.

FAQ

What is mNAV and why is it important to MicroStrategy?

mNAV or modified net asset value is a measure that shows the market value of a company compared to the value of the Bitcoin it holds. This is important as it indicates MicroStrategy’s financial health and potential triggers to sell Bitcoin.

How much Bitcoin does MicroStrategy have?

MicroStrategy owns approximately 649,870 Bitcoins, making it one of the largest corporate Bitcoin holders in the world.

What is the “green dot” mentioned by Michael Saylor?

The “green dot” mentioned by Michael Saylor is likely a hint that the company may be considering new strategies, including the potential sale of Bitcoin, as part of their asset management.

How did the market react to MicroStrategy’s announcement?

MicroStrategy’s announcement has added to concerns in the crypto market, causing a drop in the price of Bitcoin and other major cryptocurrencies.

What are the risks to investors if MicroStrategy sells their Bitcoin?

If MicroStrategy sells most of their Bitcoin, this could lead to a drop in the price of Bitcoin in the market due to increased supply. It could also reduce institutional confidence in Bitcoin as an investment asset.

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*Disclaimer

This content aims to enrich readers’ information. Pintu collects this information from various relevant sources and is not influenced by outside parties. Note that an asset’s past performance does not determine its projected future performance. Crypto trading activities have high risk and volatility, always do your own research and use cold cash before investing. All activities of buying and selling bitcoin and other crypto asset investments are the responsibility of the reader.

Reference

• Coinpedia. Crypto Market Starts December on a Weak Note as MicroStrategy Hints at Possible Bitcoin Sale. Accessed on December 2, 2025
• Featured Image: Decrypt