Bitcoin Standard author says BTC treasury firms face uphill battle against Strategy

Saifedean Ammous, author of The Bitcoin Standard, said Bitcoin treasury companies are unlikely to find it easy to compete with Strategy, according to an interview with Cointelegraph. Ammous said it was hard to find a compelling reason to choose another Bitcoin treasury company over Strategy, adding that Strategy’s large Bitcoin holdings help lower its funding costs and give it a competitive edge. He said Strategy had not been pushed close to liquidation even during sharp Bitcoin price declines, and added that the company has enough cash to cover dividend obligations, leaving it room to withstand a much deeper drop in Bitcoin prices than current levels. He also said companies that generate stable cash flow can allocate surplus cash not needed for operations to Bitcoin. At the same time, Ammous noted that investing in Strategy stock also carries risks and said he personally prefers holding Bitcoin directly.