In theory, Strategy can FORCE its own business model to succeed.
The reason is ironically simple.
Bitcoin has an absolute fixed supply.
So every $1 used to BUY Bitcoin does not equate to a $1 increase in the PRICE of Bitcoin.
It equates to a DISPROPORTIONATELY larger increase because incremental demand is chasing a perfectly scarce asset.
Strategy’s business model is to capture the spread between the cost of capital and Bitcoin’s ARR.
So at the time of writing, Strategy only needs Bitcoin to increase by ~2% per year to meet its dividends obligations.
So it can, theoretically, single-handedly drive the appreciation needed to fund its dividends obligations through its own buying pressure from capital raised via $STRC.
Wild.