Michael Saylor: The next phase of the crypto industry will be "digital credit"

BlockBeats News, March 27 — According to Forbes, over the past six years, Michael Saylor has transformed Strategy (formerly MicroStrategy) from a little-known enterprise software company outside the industry into the world’s largest corporate Bitcoin holder, with over 762,000 BTC worth billions of dollars.

At the digital asset summit held yesterday in New York, Saylor discussed “digital credit” and regarded it as a core opportunity. He introduced STRC (nickname “Stretch”), a preferred stock product positioned by Strategy as a unique tool in the crypto space: a low-volatility, high-yield asset designed to be included in fixed-income portfolios. Saylor mentioned that this product has an 11.5% yield, approximately 2% volatility, and a Sharpe ratio close to 4. The product has a nominal scale of $5 billion, with an average daily liquidity of $224 million, already reaching institutional trading levels.

He stated afterward, “Digital credit is the most attractive lending tool in the world. If you can create a product with a Sharpe ratio of 4, it should be in every investment portfolio.”

Meanwhile, institutional funds are flowing back into Bitcoin through regulated channels, with the US spot ETF experiencing its longest net inflow cycle of the year. However, currently, the proportion of crypto assets in US managed wealth remains below 0.5% — and Saylor is working to bridge this gap. For yield-seeking investors, a tool that uses Bitcoin as collateral, with bond-like volatility and double-digit returns, opens a new investment narrative.