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Michael Saylor told Schwab Network on October 20 that Strategy's core product is not its stock but the digital credit it issues. The company converts Bitcoin into dividend-bearing instruments designed to meet the cash-flow needs of a different class of investor, he said, describing MSTR as "just a byproduct" of that business.
Saylor argued that supporting the prices of these credit products and pulling them back toward par is what lets Strategy keep issuing new ones at a premium to net asset value. That, he said, is why the company deploys capital to buy back its preferred stock.
He also drew a clear boundary around the thesis: if the credit business fails, Strategy is simply a Bitcoin holding company.
Frequently asked questions
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What does Saylor say Strategy's actual product is?
He told Schwab Network that Strategy's product is digital credit: the company converts Bitcoin into dividend-paying instruments aimed at investors with cash-flow needs. He called MSTR stock a byproduct of that business.
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Why does Strategy buy back its preferred stock?
According to Saylor, supporting the credit products' prices and bringing them back to par allows the company to keep issuing new instruments and command a premium to net asset value, which is why capital goes into preferred-stock buybacks.
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What happens to Strategy if the digital credit business fails?
Saylor said that if the credit business doesn't work, Strategy is simply a Bitcoin holding company, with its value tied to its BTC holdings rather than the credit franchise.
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When and where did Saylor make these comments?
He made the remarks in an interview with Schwab Network on October 20, 2026.
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How does Strategy convert Bitcoin into credit products?
Per Saylor's explanation, the company uses its Bitcoin holdings to back dividend-paying digital credit instruments designed for a different group of investors than equity holders, generating yield-based products rather than pure equity exposure.
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