Strategy Debuts 'Net Bitcoin Per Share' Metric Amid Bear Market

Strategy, a company known for its Bitcoin holdings, has revamped its valuation metrics to better reflect the value of its assets. The new system strips out debt and preferred stock claims, providing a clearer picture of how much Bitcoin belongs to common shareholders.

The centerpiece of this overhaul is 'net Bitcoin per share,' which measures the actual amount of Bitcoin owned by each shareholder after accounting for $22.3 billion in senior claims. According to Strategy's calculations, this figure has risen from $13 (44,000 sats) at the end of 2020 to $95 (143,000 sats), representing a 43% compound annual growth rate.

Strategy's executive chairman, Michael Saylor, tweeted that 'Bitcoin Capital Markets require a new financial language.' This shift towards digital credit has prompted a reevaluation of existing metrics, including the 'amplification' gauge, which now functions as an equity multiplier of about 1.5x.