In the face of a barrage of regulatory enforcement actions, MicroStrategy’s Michael Saylor predicts that the US crypto market will become more “Bitcoin-focused” in the future.
The executive chairman of the business intelligence software company stated in an interview with Bloomberg on Tuesday that recent statements from the U.S. Securities and Exchange Commission (SEC) are “laying the foundation” for the next Bitcoin bull run.
According to Michael Saylor, “Regulatory clarity will drive Bitcoin adoption by eliminating the uncertainty and fear that have been holding back institutional investors.” Much of that confusion stems from other “crypto securities” for which regulators “don’t see a legitimate path forward” in the United States.
“They have a view of crypto exchanges which is far constrained,” he added. “Their view is crypto exchanges should trade and hold pure digital commodities like Bitcoin.”
The SEC sued Coinbase—the largest crypto exchange in the US—last week, alleging that the company had listed over a dozen securities on its platform without registering as a securities exchange. agency hesitated to comment on whether a specific token qualifies as security until filing a lawsuit, which both the industry and Congress have criticized.
SEC
The SEC has determined that it does not classify Bitcoin as a security and, instead, considers it sufficiently decentralized to merit referring to it as a commodity. As such, Saylor believes the regulatory crackdown on stablecoins and other tokens will likely send Bitcoin’s long-term dominance back above 80% of the total crypto market.
Saylor stated, “The public is starting to realize that Bitcoin is the next Bitcoin.” In addition, he said “The next logical step is for Bitcoin to 10x from here, and then 10x again.”
However , Saylor’s company is one of the world’s largest holders of Bitcoin, now possessing 140,000 BTC bought at an average price of $29,803 per coin. It hasn’t touched any other crypto tokens, deeming Bitcoin the “only institutional grade investable asset in the crypto space.”
Michael Saylor has previously argued that Ethereum (ETH)—the second-largest cryptocurrency by market cap—is a security, due to having an ICO, pre-mine, and management tea
