The Truth Behind Microstrategy’s Mysterious Bitcoin Sales

Microstrategy and its CEO, Michael Saylor, have been the victims of online trolling on several occasions. The recent events appear to be no exception.

Bitcoin

Microstrategy (NASDAQ:MSTR) and its CEO Michael Saylor, the strongest proponents of the world’s largest cryptocurrency, have been in the news a lot lately. But not for the right reasons. Some reports are suggesting that the company is selling its Bitcoin (BTC). And to make matters worse, they’re doing it secretly! Is it true?

According to a Twitter account by the handle ‘Ozz, CEO of Altseason’ and at least one Medium article, Microstrategy has been dumping thousands of BTC for months.

In fact the article, which also digs into the past of Saylor’s investment failures- noting he lost $13.5 billion in the late 90s, claims that year-to-date more than 8,000 Bitcoins have been dumped by the company and its CEO.

While pointing out what it assumes to be Microstrategy’s main custodial wallet, the Twitter account states that more than 1,500 Bitcoin were transferred on April 20, to secondary addresses that has been using Coinbase and Okex to sell the crypto.

Cryptocurrency exchanges typically require users to deposit funds into a primary account before trading. However, some users may want to send crytpo to an exchange via a secondary account for privacy or security reasons. This can be done by creating, in this case a new Bitcoin address, and sending the coins to that address. The user can then provide the exchange with the secondary address in order to deposit the funds.

In an other tweet, the same account says that although the 1,500 Bitcoin sold is “insignificant compared to MicroStrategy’s holdings, selling $63M worth of bitcoin is a thing and since they announce their purchases, they should announce their selling activities too.”

Needless to say, the tweets sparked strong reactions from a number of people, claiming that the information regarding Saylor and his software firm wasn’t entirely accurate. In fact, Twitter user Slovakian.HOD (S.H), responded to Ozz’s claims calling them total ‘Bullshit.’

In hist tweet, S.H notes that Microstrategy’s first BTC purchase was made on August 11, 2020 while wallets 1P5ZED and 1FzWLkA, have both been active since 2019, 2018 respectively.

The accusations leveled against Microstrategy and Michael Saylor are serious, and should be taken seriously. However, in the absence of concrete evidence it appears that this may be a case of mistaken identity – or worse, intentional trolling. We must always remember that when making allegations such as these, we need to carry out due diligence in order to avoid muddying the waters and damaging the credibility of good actors in the space.

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