Arca Chief Investment Officer: MSTR's Biggest Risk Lies in BTC Price Soaring While Stock Price Stagnates

Odaily News Arca's Chief Investment Officer, Jeff Dorman, posted on platform X stating that the biggest risk facing MSTR is not being delisted by MSCI or a drop in BTC price. Being delisted by MSCI only has a slight negative impact on the stock and is irrelevant to Bitcoin; with over 2 years of cash reserves and no forced sale clauses, a drop in BTC price would not force MSTR to sell.

He believes the real risk is BTC price rising while MSTR's price stagnates. If MSTR no longer tracks BTC price and trades significantly below mNAV, it will be unable to raise funds through ATM offerings, and at that point, it would have to consider selling BTC to buy back stock.