The Infinite Money Glitch: How Saylor Created the DAT Roadmap

Key Insights

• Strategy’s superior capital market access generated higher returns than holding the underlying BTC. Since August 2020, MSTR’s 23x return has outpaced BTC’s 9x, supported by layered financing that progressively increased Bitcoin per share.
• Strategy raised over $41 billion through convertible bonds ($9.9 billion), ATM equity sales ($29 billion), and preferred stock ($4.7 billion), each optimized for different market conditions.
• Strategy's volatility enables near-zero rate convertibles, creating a cycle where BTC purchases amplify stock swings and attract more debt, but out-of-the-money maturities require cash repayment.
• Strategy's $4.7 billion in preferred stock provides permanent capital without principal repayment but creates $568 million in annual dividend obligations that must be funded through continuous ATM issuance.
• BitMine's ETH staking could generate enough yield to cover financing costs without continuous equity issuance, potentially creating a self-sustaining treasury model that addresses Strategy's core vulnerability.

Introduction