Fund CEO Predicts MSTR Performance Will Be ‘Massively’ to the Upside in Next Bitcoin Bull

MSTR performance — Mike Flaum, CEO of Log Scale Investments, predicts MicroStrategy’s stock performance will be “massively” to the upside during the next Bitcoin bull market, citing the company’s unique capital structure and Bitcoin acquisition strategy.

In an interview with Bitcoin Magazine TV, Flaum explained his long-term bullish stance on the business intelligence firm. He detailed how MicroStrategy’s ability to issue convertible debt, like its recent “Stretch” notes, effectively restarts its Bitcoin purchasing engine, allowing it to continue accumulating the asset even as its stock price appreciates.

Flaum also discussed the mechanics of the company’s proposed daily dividend, comparing its function to a Bitcoin perpetual futures contract for shareholders. He contrasted the strategies of short-term opportunistic traders with long-term holders of the company’s preferred shares, who benefit from its Bitcoin-backed yield.

The fund CEO addressed why MicroStrategy’s stock has not always kept pace with its Bitcoin holdings, explaining concepts like gross and net market-value-adjusted net asset value (mNAV). He concluded by reiterating his view that the firm’s capital stack and aggressive Bitcoin acquisition strategy position it for significant outperformance in a future crypto bull cycle.