MicroStrategy’s Bitcoin Plan Is Set to Become More Volatile

  • Rule change would require valuing Bitcoin at market prices
  • Likely adjustment would take gains and losses into account
Michael Saylor, executive chairman of MicroStrategy, speaks during the Bitcoin 2022 conference in Miami.Source: Bloomberg
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MicroStrategy Inc. is likely to show a return to profitability when reporting third-quarter results after co-founder Michael Saylor turned the enterprise-software maker into a Bitcoin investment vehicle.

That’s a marked change from the loss of more than $1 billion posted in the prior three-month period, when an almost 60% plunge in the cryptocurrency required MicroStrategy to write down the value of its holdings. Bitcoin rose 3.7% in the most recent quarter.