You raise good questions. What Saylor just produced there was beyond nobel prize winning analysis of the weaknesses in the wall street group think. He's beating the risk free rate because people are bitcoin skeptics and microstrategy skeptics. He has a bit of leverage but not a huge amount, and it's all pretty transparent. MSTR is better capitalized than any bank in the world. And this is not a coincidence.
2008 was outright fraud. They basically used banking licenses to print money. A banking license lets you print money but you have to take on the risk premium if you do that. They didnt, they just did robo loans and collected pay checks. Then repackaged that junk with the ratings agencies as derivatives. The idea is that house prices always go up, so you cant lose. It's a fiction. And it still goes on today. Which is why so many banks are insolvent.
What Saylor has done has completely hacked the system. Everywhere he turns he has the opportunity of free money, all be it with some risk. He keeps the risk in check, and takes the free money, and gives it to his share holders, so the price goes up.
He then sells more shares to buy bitcoin. In any other company you get punished by selling shares. Think of it like vitalek printing more ETH. But Saylor is doing it to buy BTC, which just makes them stronger. Every corp finance wannabe in the world needs to understand this inside out (they dont).
This is an absolute master class in a long series of master classes. Should you be worred? Nah, unless you're super paranoid AND you do the maths in a spreadsheet. You should be more worried about Barclays being insolvent and that just makes the case for full reserve digital assets even stronger.
Saylor will go down as the Galileo of his day.
