MicroStrategy’s Bitcoin Treasury Strategy and Reflexive Market Effects

MicroStrategy (MSTR) has successfully transformed into a de facto "Bitcoin treasury company," leveraging capital markets to systematically accumulate BTC as its primary reserve asset. This strategy has created a powerful reflexive loop, where MSTR's stock premium and capital raises fuel further BTC purchases, significantly impacting Bitcoin price discovery and influencing, yet concentrating, broader corporate BTC adoption. MSTR's approach has normalized institutional BTC holdings but also highlights the unique risks of its highly leveraged model.