Michael Saylor Teases Buying More Bitcoin Despite Peter Schiff Warning of ‘Death Spiral’

Michael Saylor hinted at buying more Bitcoin (BTC) despite Peter Schiff’s continuous criticism of Strategy’s STRC. Over the weekend, he shared a post on social media that suggests the Bitcoin treasury company is set to announce another BTC acquisition on Monday.

Michael Saylor Signals More Bitcoin Acquisitions

On Sunday, April 26, Michael Saylor posted on X; “The ₿eat Goes On.” The post included the company’s famous “Orange Dots” chart, showing its previous Bitcoin buys. The message was simple and many took it as an indication more buying is on the cards due to the past trends.

Meanwhile, the STRC team has added to the speculation. “STRC weekly guess time. Quiet week ~ 0 BTC estimated,” the post read. It added that there may not have been any buying recently. The team noted that the stock was “still recovering at $99.64” and asked readers, “What will Monday’s 8-K confirm?”

The debate comes as more investors are taking interest in Strategy’s preferred equity, STRC. The Michael Saylor-backed product has a monthly payout with an annual return of 11.5% and has been used as a means to raise funds to purchase more BTC.

The company has built up a position of over 815,000 BTC with a $2.54 billion purchase in Bitcoin last Monday. It stands as the world’s largest corporate BTC owner.

Saturn, a STRC-backed yield provider, bought $18 million in STRC with its total investment surging to $33 million. Despite the injection, STRC has continued to trade marginally below its $100 par value, a critical level for investors. It has prompted questions about the demand strength and Michael Saylor’s future BTC acquisition strategies.

Peter Schiff Sounds Alarm On STRC ‘Death Spiral’

Prior to this post, Schiff, a long-time Bitcoin critic, continued to criticize Michael Saylor. In several tweets, he questioned the viability of the strategy, which is reliant on capital inflows.

“The claim that Bitcoin only has to rise by 2% per year to cover the 11.5% yield on $STRC indefinitely assumes $MSTR stops issuing STRC,” Schiff wrote. He added that higher issuance may require a further increase in Bitcoin growth rate.

“The only way to stop the death spiral is for MSTR to cancel the dividend, which would result in massive losses in STRC, Strategy and Bitcoin prices,” he wrote.

Previously, he also wrote that STRC is “the most obvious Ponzi that has ever existed.” He noted that the demand for STRC seems to be more for the 11% yield than for Bitcoin.

Earlier, Schiff also highlighted legal concerns and warned Michael Saylor of a potential lawsuit in the future.

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