Gerber Slams Saylor's Bitcoin Strategy: 'Worst Thing' to Happen to Crypto

Veteran investor Ross Gerber has criticized Michael Saylor's approach to Bitcoin, calling him 'the worst thing' to happen to the cryptocurrency. According to Gerber, Strategy Inc.'s (NASDAQ:MSTR) tactic of selling MSTR at a high premium to buy cheaper Bitcoin worked in the bull market but started to unwind in the bear market.

Strategy shares have historically traded at a premium, meaning their stock price values the company higher than the BTC on its balance sheet. However, when the stock trades at a discount, the company's ability to raise capital by selling new shares slows down, as it becomes dilutive.

In recent months, Strategy paused Bitcoin buying entirely and focused on cleaning up its balance sheet, even offloading some of its BTC to bolster its dollar reserves.