Mike Flaum expects Strategy to outperform during the next Bitcoin bull run - Cryptocurrencies and blockchain

Log Scale Investments CEO Mike Flaum discussed Strategy’s preferred shares, Bitcoin treasury companies, valuation metrics and the distinction between volatility and underlying risk in an interview with Bitcoin Magazine TV. He said MSTR could perform “massively” to the upside during the next Bitcoin bull market.

Mike Flaum, CEO of Log Scale Investments, appeared on Bitcoin Magazine TV to discuss Strategy’s role as a Bitcoin treasury company and the factors that could influence its future performance. The conversation covered Strategy’s Stretch preferred shares, daily dividends, Strive’s SATS offering and the relationship between Bitcoin prices and the company’s stock valuation.

Flaum addressed what a return of Stretch to par value could mean for Strategy, including how issuing the preferred shares at $100 could allow the company to resume Bitcoin purchases. He also discussed shareholder approval for daily dividends and compared the structure’s potential behavior with Bitcoin perpetual futures.

The interview examined the different approaches of opportunistic traders and long-term preferred holders. Flaum also considered whether the oversubscription of Strive’s SATS offering represented new capital entering the market and compared Bitcoin-backed preferred securities with Treasury bonds from the perspective of retirees.

Other topics included why Strategy’s stock has not matched the performance of its Bitcoin holdings, and how gross, enterprise-value and net mNAV measures can be used to assess the company. Flaum also discussed digital credit, amplification, share buybacks and differences between Strategy’s and Strive’s capital structures.

The conversation concluded with a discussion of Bitcoin’s four-year cycle, the possibility of Bitcoin reaching a record high before the next halving and JPMorgan’s Bitcoin forecast. Flaum said he separates volatility from actual risk and maintained a long-term bullish view, arguing that Strategy’s performance could be significantly stronger during the next Bitcoin bull run.

The interview includes a disclaimer stating that the participants’ views do not necessarily represent the official position of BTC Inc., Bitcoin Magazine or affiliated entities. It also says the content is for informational and educational purposes and is not investment, legal, tax or accounting advice.

Sources: Bitcoin Magazine.