Peter Schiff Criticizes Strategy's Bitcoin Strategy

Peter Schiff has renewed his criticism of Strategy, formerly known as MicroStrategy, arguing that the company's five-year Bitcoin accumulation strategy has resulted in a negative total return. According to BeInCrypto, Schiff claims that Strategy has invested approximately $64 billion into Bitcoin since adopting its treasury strategy, yet the total return remains negative as of May 23. He further criticizes the company's STRC preferred stock structure, which he argues relies on Bitcoin appreciating by 30% annually to fund its 11.5% dividend. Schiff has labeled the structure a Ponzi scheme, suggesting that weak Bitcoin performance undermines Strategy's ability to issue new shares at a premium, thus limiting capital for dividends.