“Accounting rule changes! MicroStrategy may meet S&P 500 profit requirements with new rules, Saylor reveals the logic behind it!”
In a recent interview, MicroStrategy Chairman Michael Saylor did not directly confirm whether the company could enter the S&P 500, but he revealed that with the value of the Bitcoin held by the company, MicroStrategy may report billions of dollars in quarterly net income after the accounting rule changes in 2025. As Bitcoin prices rise, this may enable it to meet the S&P 500's profit requirements.
Although MicroStrategy's traditional software business is valued at only about $1 billion and is operating at a loss under GAAP standards, the upcoming accounting rule changes will allow the company to adjust the carrying value of its Bitcoin holdings to fair market value. This means that the rise in Bitcoin could bring considerable net income to MicroStrategy and significantly enhance its financial performance.
It is worth noting that S&P 500 members are selected through invitation by the S&P Global Index Committee, which considers various factors, including profitability and market capitalization. This change provides MicroStrategy with a breakthrough opportunity.
As the value of Bitcoin continues to soar, whether MicroStrategy can successfully join the S&P 500 has become one of the market's focal points.
Stay tuned and gain insights into market changes with Mr. Qiu to seize emerging opportunities!
