Michael Saylor Shows the New Stage of Bitcoin in 2025: Full Implementation of Institutional Adoption and Regulatory Approval

Strategy founder and Chairman Michael Saylor emphasizes that the true value of Bitcoin lies not in short-term price fluctuations but in institutional and foundational adoption. The market changes throughout 2025 indicate that Bitcoin’s position within the financial system has fundamentally shifted, not just experienced a price increase.

In a detailed interview on the “What Bitcoin Did” podcast, Saylor analyzed the historic turning point Bitcoin has reached from multiple angles. The core of this analysis is that four pillars—regulatory approval, entry of financial institutions, changes in accounting standards, and the revival of insurance systems—have simultaneously come into place.

Rapid Institutional Adoption: A Turning Point in Corporate Balance Sheet Strategies

As of 2024, approximately 30 to 60 companies held Bitcoin on their balance sheets, but by the end of 2025, this number is expected to reach around 200. This rapid increase reflects strategic corporate decisions rather than mere speculative activity.

As Saylor points out, the effects of Bitcoin holdings are numerically clear. For example, companies recording an annual loss of $10 million are increasingly holding $100 million worth of Bitcoin on their balance sheets, generating capital gains of $30 million. For companies, Bitcoin is no longer just an asset but a tool to improve financial health.

While there are criticisms of this phenomenon, Saylor highlights a fundamental misunderstanding. The question, “With 400 million companies worldwide, why would holdings by about 200 companies undermine fundamentals?” suggests that excessive concern about market size is unwarranted.

Insurance, Accounting, and Regulation: Infrastructure for Bitcoin Is Complete

The most overlooked development in the Bitcoin market in 2025 is not technological evolution but the establishment of institutional infrastructure. Saylor’s own experiences reveal the magnitude of this change.

Revival of Insurance Coverage
In 2020, when Saylor purchased Bitcoin, insurance companies canceled his company’s policies. Over the next four years, despite the company’s assets being hundreds of billions of dollars, he had to maintain personal insurance worth $40 million for Bitcoin holdings. By 2025, this situation has been completely transformed.

Introduction of Fair Value Accounting
Previously, listed companies faced the issue of paying unrealized capital gains taxes on unrealized gains in Bitcoin. In 2025, fair value accounting was adopted, allowing companies to recognize profits for the first time. Clear government guidance resolved this taxation issue.

Official Government Recognition
In 2025, Bitcoin was officially recognized by the government as “the world’s leading and largest digital commodity.” Following this approval, Bitcoin prices hit all-time highs.

Integration into the Banking System: Active Participation by Financial Institutions

The most significant change emphasized by Saylor is the start of Bitcoin lending by major US banks.

At the beginning of the year, collateralizing $1 billion worth of Bitcoin would only yield a loan equivalent to a few cents. However, by the end of the year, nearly all major US banks had begun offering loans collateralized by physical Bitcoin ETFs (IBIT), and about a quarter of them announced plans for direct Bitcoin collateralized loans.

Furthermore, in early 2026, JPMorgan Chase and Morgan Stanley are discussing trading and processing Bitcoin. This indicates that traditional financial institutions are beginning to treat Bitcoin as a standard financial product.

The Treasury Department has also issued positive guidance on incorporating cryptocurrencies into bank balance sheets, and the chairmen of the CFTC (Commodity Futures Trading Commission) and SEC (Securities and Exchange Commission) have expressed support for Bitcoin and cryptocurrencies.

Market Infrastructure Maturity: CME Derivatives and ETF Exchange Mechanisms

A key development supporting the Bitcoin market infrastructure is the commercialization of derivatives trading at CME (Chicago Mercantile Exchange). Simultaneously, innovative exchange mechanisms have been introduced.

The ability to exchange $1 million worth of Bitcoin for $1 million worth of IBIT (Bitcoin spot ETF), or vice versa, tax-free, has been implemented. This mechanism has dramatically improved market liquidity and made it easier for institutional investors to adjust their Bitcoin positions.

Long-Term Perspective Beyond Short-Term Price Predictions: Michael Saylor’s Strategic Evaluation

Saylor consistently emphasizes that analyzing price movements over 90 or 180 days is meaningless. Over the past 10,000 years, ideological movements and institutional shifts that brought about significant change typically required a time scale of about 10 years, Saylor notes.

Evaluating Bitcoin’s performance over the past four years using moving averages shows a clear bullish trend. According to Saylor, the past 90 days have been an “excellent opportunity for foresightful investors to buy more Bitcoin.”

Short-term price declines are not contradictory to long-term fundamental improvements. In fact, price adjustments during institutional adoption phases are evidence that markets are functioning properly.

Positioning Bitcoin as “Universal Capital in the Digital Age”

Saylor clearly explains the essence of corporate Bitcoin purchases. Defining Bitcoin-holding companies as “purely financial companies” is a misconception, according to Saylor.

Instead, Saylor offers a metaphor of electrical infrastructure. Just as factories need electricity, digital-era companies need Bitcoin. Like electricity powering all machinery in a factory, Bitcoin is a universal capital for the digital age.

From this perspective, corporate Bitcoin purchases are not speculative but rational actions to enhance productivity. Saylor argues that holding Bitcoin to improve financial health through capital gains is more logical than continuing to operate at a loss.

Digital Credit Market: Strategy’s Commercial Strategy and Infinite Growth Potential

Saylor’s next strategic vision extends beyond Bitcoin holdings. Strategy aims to enter the digital credit market, which Saylor believes has an almost infinite potential size.

Strategy explicitly states it will not engage in banking. Instead, it will leverage dollar reserves to enhance corporate creditworthiness and develop top-tier products in the digital lending market.

The product model Saylor proposes is a listed product with a 10% dividend yield and a value of 1 or 2. If Strategy can capture 10% of the US Treasury market, its market size could reach $10 trillion, Saylor estimates.

Strategic Role of Dollar Reserves
Holding dollar reserves enhances Strategy’s creditworthiness and attractiveness to credit investors. Since buyers of credit products consider Bitcoin and stocks too volatile, stable assets are essential. Dollar reserves fulfill this need.

Misconception of Market Saturation
Existing financial markets include senior credit, corporate credit, derivatives, and more, yet they are not saturated. The digital credit market still has room to grow, with possibilities for derivatives, exchanges, and even insurance products backed by Bitcoin. Currently, no insurance companies utilize Bitcoin as collateral or capital, indicating that this industry is still in its early stages.

Saylor states that the stock prices of business companies are determined not only by current capital utilization but also by potential future capabilities. The fact that they are not yet implementing certain strategies does not mean they cannot do so, implying significant growth potential for Strategy.

Conclusion: Rebuilding the Financial System with Bitcoin and Digital Credit

Michael Saylor’s analysis shows that Bitcoin has evolved from a mere investment asset into a foundational infrastructure of the financial system. The institutional adoption, regulatory approval, and infrastructure development in 2025 have cemented this evolution.

Strategy’s entry into the digital credit market is the next phase, leveraging Bitcoin’s elevated status. Given the potential scale of the digital credit market, Saylor’s vision aims to create a new market category.

While many market participants focus on short-term price fluctuations, Saylor’s long-term and institutional perspectives suggest where the true value of the Bitcoin ecosystem lies. Bitcoin is universal capital for the digital age, and digital credit is a new financial form that utilizes this capital.