Ripple CEO Slams Saylor's Leveraged BTC Model, Calls It 'Damning Indictment'
Ripple CEO Brad Garlinghouse just torched Michael Saylor's leveraged Bitcoin strategy, calling MicroStrategy's preferred stock a "damning indictment" as it trades 26% below par. While still bullish on BTC itself, Garlinghouse argues utility, not financial engineering, drives long-term value. This jab comes as MicroStrategy faces mounting pressure on its debt-fueled accumulation.
Brad Garlinghouse just dropped a bomb on Michael Saylor's leveraged Bitcoin playbook. He's calling MicroStrategy's preferred stock, trading 26% below par, a "damning indictment" of Saylor's borrow-to-buy strategy. Garlinghouse is still bullish on BTC, but he's drawing a hard line between the asset's potential and the risky financing structures built around it. Saylor's preferred stock is bleeding value, with dividend payments ballooning and the company forced to sell BTC for the first time to cover obligations. This isn't about financial engineering; it's about utility driving long-term value, according to Garlinghouse, who points to Ripple's own utility-focused approach with XRP. The critique hits as institutional BTC treasury adoption is red hot, but Saylor's model is showing cracks under pressure.