Key Takeaways

How is Strategy using Bitcoin?

It launched $4 billion credit products, with Stretch offering fixed yields up to 12% backed by BTC reserves.

What drives institutional interest?

Spot Bitcoin ETFs crossed $150 billion assets, while corporate treasuries topped 1 million BTC, fueling cautious optimism for long-term adoption.

Michael Saylor is redefining Bitcoin’s role in global finance.

As Executive Chairman of Strategy (formerly MicroStrategy), Saylor says the company’s new “digital credit” instruments represent a pivotal shift, transforming Bitcoin [BTC] from a volatile store of value into the backbone of a yield-generating credit system.

In 2025, Strategy launched four credit products, collectively valued at $4 billion. At the forefront is Stretch, a flagship preferred stock designed to deliver fixed income, fully backed by Bitcoin reserves.

In an interview with Bloomberg, Saylor said:

“What we’re doing is stripping away Bitcoin’s volatility and risk … distilling it into a digital capital instrument, and then offering a defined yield—say, 10% in U.S. dollars.”

Strategy’s $4B credit bet

For centuries, credit relied on gold reserves. Governments and corporations issued debt instruments backed by physical assets.

Saylor argued that Bitcoin is now stepping into that role, with instruments designed to offer yields of up to 12% while being over-collateralized.

“The killer app in the Bitcoin world is Bitcoin-backed credit. If we were just an ETF, we wouldn’t be able to create credit instruments. The credit itself is an extraordinary new asset class.”

Strategy’s approach positions Bitcoin as digita

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Author: Olayiwola Dolapo