TLDR
- Strategy’s CEO confirms that Bitcoin must drop to $8,000 to impact the company’s balance sheet.
- Strategy remains resilient despite a major Bitcoin price downturn, with long-term strategies in place.
- Strategy’s financial strategy is built to withstand even extreme market conditions for years.
- CEO dismisses quantum computing as an immediate threat to Bitcoin’s security, calling it premature.
In a recent webinar about the company’s fourth-quarter results, Strategy CEO Phong Le stated that the company’s balance sheet remains solid despite Bitcoin’s recent price downturn. Le explained that even in a worst-case scenario where Bitcoin’s value falls by 90%, the company is not at risk unless Bitcoin stays at $8,000 for five to six years.
At that point, the company’s Bitcoin reserves would equal its net debt, making it unable to pay off its convertible debt. Le emphasized that such a drastic drop would only affect the company’s finances if it endured for several years.
NEW: CEO of Strategy, Phong Le, says that the price of Bitcoin would have to drop to $8,000 for Strategy to have any financial and solvency concerns.
We’re not going that low, are we? 😅 pic.twitter.com/mApw3pEIhT
— The ₿itcoin Therapist (@TheBTCTherapist) February 6, 2026
The company’s large exposure to Bitcoin means that its performance is closely tied to the cryptocurrency’s value. However, Le reassured investors that they have prepared for long-term market fluctuations. If Bitcoin’s price hits $8,000, Strategy would need to consider other financial options, such as restructuring or issuing additional equity or debt, according to Le’s remarks during the call.
Bitcoin Price Decline and Strategy’s Response
Despite the sharp downturn in Bitcoin’s price, which recently saw a 9% drop in just 24 hours, Strategy’s management remains optimistic. CFO Andrew Kang noted that the company’s losses were largely unrealized, meaning that they would only become actual losses if the Bitcoin market remained low. The company’s strategy focuses on the long-term, and Kang highlighted that this period of market volatility is not something that threatens their core operations.
During the call, Michael Saylor, Strategy’s executive chairman, echoed the sentiment of long-term resilience. He acknowledged that short-term price fluctuations could be unsettling but emphasized the company’s commitment to holding its Bitcoin reserves. Saylor pointed out that this approach would help the company ride out any potential downturns and remain stable for the foreseeable future.
Quantum Computing Concerns Are Premature, Says Strategy CEO
Another major topic during the earnings call was the potential threat posed by quantum computing to Bitcoin. Saylor dismissed these concerns, describing them as part of a “parade of horrible FUD” (fear, uncertainty, and doubt) surrounding Bitcoin.
According to Saylor, quantum computing is a promising technology but is still in its early stages. He mentioned that experts believe it could take at least 10 years before quantum computers pose any significant risk to Bitcoin’s security.
Saylor emphasized that even if quantum computing develops, Bitcoin’s underlying structure is flexible enough to adapt. He pointed out that significant efforts are already underway to develop quantum-resistant protocols. These upgrades could be implemented through global consensus within the Bitcoin community, making it possible for Bitcoin to evolve and meet new challenges, just as it has in the past.
Strategy’s Preparedness for Long-Term Market Conditions
Saylor reiterated that Strategy is well-prepared to handle difficult market conditions over the long term. The company’s financial structure is designed to endure tough cycles, whether they last for months or even years. “We’ve done it before, and we’re prepared to do it going forward,” Saylor said, highlighting the company’s confidence in its approach.
This statement reflects the company’s belief in Bitcoin’s long-term potential. Despite the volatility in the market, Strategy’s leadership remains confident in their ability to manage their investments and navigate the challenges ahead. The company’s long-term approach has made them one of the largest corporate holders of Bitcoin, and they continue to execute their strategy with an eye on the future rather than short-term market fluctuations.
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