Strive Vice President: Major Global Capital Allocators Now Have Bitcoin-Related Tools That Match Their Views

Odaily Planet Daily News: Strive Vice President Joe Burnett posted on platform X, stating that Bitcoin's breakeven annualized rate is often difficult to understand, and it is important to grasp why. The market generally holds three types of views on Bitcoin: Bullish investors believe Bitcoin will appreciate significantly. If they can borrow long-term capital at a cost below 20% and believe Bitcoin's future compound annual growth rate (CAGR) will exceed that level, they are willing to finance the purchase of more Bitcoin; Neutral Bitcoin investors have a much lower required rate of return for Bitcoin. According to a post by Michael Saylor, if Bitcoin only grows by 3.3% annually, they can also sustain current dividend payments through Bitcoin capital gains. This is a different bet than expecting Bitcoin to grow at a CAGR above 20%. For context, the historical annual growth rate of the US dollar M2 money supply is about 7%. Bitcoin is a scarce monetary asset with a long-term supply growth rate of 0%. Therefore, digital credit buyers do not need to be extremely bullish on Bitcoin; they mainly need to believe that Bitcoin will not die out and that it will roughly keep pace with US dollar inflation. This audience is much broader, and Joe Burnett states that this may already be the current global consensus view on Bitcoin. Bearish investors can also express their views by shorting Bitcoin or shorting Amplified Bitcoin. Currently, capital has three clear ways to express itself: Going long on Bitcoin by holding Bitcoin and Amplified Bitcoin, maintaining a neutral stance on Bitcoin by holding Digital Credit, or going short on Bitcoin by shorting Bitcoin or Amplified Bitcoin. Every major capital allocator now has a Bitcoin-related tool that matches their worldview, and this is how global capital, exceeding $1 quadrillion, is beginning to flow into Bitcoin.