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Bitcoin evangelist Michael Saylor says clear crypto regulations would speed institutional adoption


In fact, tighter crypto regulation by the government would prove to be a catalyst. bitcoin, MicroStrategyCNBC spoke with Michael Saylor on Wednesday, as CEO and co-founder.

“Additional regulatory clarity by the [Biden]Administration is going to be beneficial bitcoin and speed up institutional adoption of this asset,” Saylor stated on “Squawk on the Street,”He stresses that he is a bitcoin believer and holder and that he wants “clear and bright line definitions digital property and digital security, versus digital currency and operating rules for the digital exchange.”

U.S. Securities and Exchange Commission Chairman Gary GenslerLast month, the agency stated that it is. planning to crack downWall Street. This includes creating rules and regulations for the cryptocurrency market. Back in AugustGensler stated that Congress must give the SEC more powers to regulate cryptocurrency.

Saylor, who is an advocate for Bitcoin and whose firm has heavily invested in digital currency, said that crypto market volatility can be attributed to high-speed trading. However, he also believes that widespread adoption of cryptocurrency will lead to stability.

Saylor explained that the most crucial point was that Big Tech and Big Finance, as well as billions of individuals around the world require a digital property solution. Bitcoin is a technologically sound and economically sound option that can be used to move forward. “I think that people are realizing this now,” I said.

According to Saylor the two key catalysts to widespread adoption of cryptocurrency are approval of ETFs that spot bitcoin and regulation approval for fair value accounting.

SEC recently objected to an accounting methodMicroStrategy’s quarterly financial reports were based on this MicroStrategy. According to BTIG analysts, the non-GAAP figure of operating income issued by enterprise software firms excludes impairment losses related bitcoin holdings.

As of Jan. 31, MicroStrategy owned 125,051 bitcoins, CFO Phong Le said on the company’s earnings call Tuesday. This stake is worth close to $4.7 billion at current prices of $37,400 per bitcoin. Le claimed that an average unit bought at the firm was $30,200, which includes all fees and expenses.

In Wednesday’s interview Saylor seemed less brash than in past CNBC interviews. He predicted that Bitcoin’s market value would rise in the past year on “SquawkBox” just a year earlier. would reach $100 trillion one day.

Bitcoin was the most popular digital currency in the world, with a market capitalization of around $709 trillion on Wednesday. according to CoinMarketCapThe entire cryptocurrency market is worth only $1.7 trillion.

Recently, bitcoin’s price, well-known for its volatility has been in decline. It traded at nearly half the cost of its November record high, which was $69,000, and is now trading close to 50% lower.

— CNBC’s Kevin StankiewiczContributed to the report.