The adoption of Bitcoin system marks a turning point—Strategy initiates innovation in the digital credit market

Michael Saylor (Founder and Chairman of Strategy) recently expressed his view on the “What Bitcoin Did” podcast, stating that Bitcoin has moved beyond short-term price fluctuations and has entered a stage of establishing institutional and financial legitimacy. He emphasizes that the future value of Bitcoin will be determined not by market psychology but by its integration with the banking system, regulatory approval, and incorporation into credit markets.

2025: A Watershed Year for Institutional Recognition—Achievements in Institutional Adoption and Bank Integration

According to Saylor, 2025 has become the most important year in Bitcoin history. Adoption by institutions and corporations has accelerated rapidly, with the number of companies holding Bitcoin on their balance sheets surging from around 30–60 in 2024 to approximately 200. This figure symbolizes that Bitcoin is no longer a speculative asset but a substantial option in corporate financial strategies.

Even more significant progress is occurring in the fields of insurance, accounting, and regulation. For years, companies holding Bitcoin faced challenges with insurance coverage, but by 2025, the insurance market has finally begun to respond. Saylor himself recounted that when he purchased Bitcoin in 2020, his insurance contracts were canceled, and he faced the difficulty of insuring his personal assets for four years. That situation changed in 2025.

At the same time, the introduction of Fair Value Accounting has enabled companies to recognize unrealized capital gains from Bitcoin holdings as profits. The longstanding issue of unrealized capital gains taxation at the corporate level has also been resolved through proactive government guidance.

The Maturation of Regulation and Market Infrastructure Leading to a Shift in Credit Structures

Changes at the regulatory level have been dramatic. The U.S. government officially recognized Bitcoin as a “globally significant digital commodity,” and the Treasury Department expressed a positive stance on integrating cryptocurrencies into bank balance sheets. The Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC) leadership have also expressed support for Bitcoin and cryptocurrencies.

Financial institutions have responded swiftly. From the beginning of the year, they could only obtain highly limited loans collateralized by Bitcoin, but by the end of the year, most major U.S. banks had begun offering loans backed by IBIT (Bitcoin spot ETFs), and about a quarter of banks are planning to offer loans collateralized directly with BTC. JPMorgan Chase and Morgan Stanley are reportedly discussing the development of Bitcoin trading and settlement schemes in early 2026.

Market infrastructure is also rapidly developing. The Chicago Mercantile Exchange (CME) has accelerated the commercialization of Bitcoin derivatives, and a tax-free exchange mechanism between Bitcoin worth $1 million and IBIT worth $1 million has been introduced. These developments collectively are actualizing Bitcoin’s “commercialization, globalization, and institutionalization.”

The Potential of the Digital Credit Market—A Massive Market with 400 Million Companies

Saylor repeatedly emphasizes that current market adoption is only in its early stages. While there are approximately 400 million companies worldwide, only about 200 hold Bitcoin. This indicates enormous room for future adoption.

He compares holding Bitcoin to a “factory equipped with power infrastructure.” Just as electricity is a universal capital powering all machinery, “Bitcoin is the universal capital of the digital age,” serving not just as a speculative asset but as a productivity-enhancing tool. Even loss-making companies with sufficient Bitcoin on their balance sheets could potentially improve their profit structure through capital gains.

For example, a company losing $10 million annually could hold $100 million worth of Bitcoin and generate $30 million in capital gains. Saylor states that the real issue is not companies continuously losing money but companies that do not hold Bitcoin in similar situations. In fact, he points out that the problem lies with loss-making companies that do not hold Bitcoin, not those that do.

Strategy’s Commercial Strategy—Enhancing Creditworthiness with Dollar Reserves

Saylor highlights the development of a “digital credit” market as Strategy’s core business model. The company does not intend to enter banking but aims to leverage dollar reserves to enhance corporate creditworthiness and develop a market for digital credit products.

He argues that the potential scale of the digital credit market is enormous. If it captures just 10% of the entire U.S. Treasury bond market, it would amount to a $10 trillion market. Even in the senior credit and corporate credit markets, there is no saturation. Instead, new derivative exchanges, insurance products, and lending schemes backed by Bitcoin could realize scale benefits that traditional financial markets cannot achieve.

Interestingly, there are currently zero insurance companies worldwide utilizing Bitcoin as collateral or capital. This sector remains completely untapped and offers a first-mover advantage in this market.

The Importance of a Long-Term Perspective—Beyond Short-Term Price Predictions

Saylor emphasizes that evaluating Bitcoin’s long-term success based on short-term price movements over 100 or 180 days is meaningless. Historical ideological movements and technological innovations have shown that true success typically requires sustained investment over more than ten years.

Looking at the past four years’ moving averages, Bitcoin has maintained a steady upward trend. Even at the current price (around $89,000), there is still room for market expansion compared to the all-time high of $126,080.

At the core of Saylor’s argument is the belief that Bitcoin’s value should be determined not by temporary market sentiment but by fundamental factors such as adoption growth, regulatory establishment, and financial infrastructure development. The significant progress in these areas through 2025 has qualitatively transformed the relationship between Bitcoin and credit markets.

The digital credit market Strategy is aiming to develop is based on this matured institutional and technological foundation. As Bitcoin establishes itself as a true “digital capital,” the credit market is also expected to fundamentally redefine and transform its nature.