Strategy founder Michael Saylor said that stablecoins, backed by Bitcoin (BTC) and pegged to the US dollar, could play a significant role in the future of the digital currency system. Saylor predicted that such products could offer annual returns of between 6 and 8 percent.
Speaking at an investor day event, Saylor shared her views on how a digital financial system could consist of different layers.
According to Saylor, Bitcoin occupies the lowest layer of the digital capital structure, while digital credit instruments like Strategy’s preferred shares form the middle layer.
The founder of Strategy stated that the next major product to emerge in digital capital and credit markets could be Bitcoin-backed stablecoins.
Saylor stated that stablecoins of this type, backed by Bitcoin and pegged to the dollar, could potentially yield annual returns of 6 to 8 percent. However, these return rates are based on Saylor’s envisioned financial model, not on a product that has yet to be implemented.
Saylor has previously argued that digital credit structures should not rely solely on Bitcoin collateral in order to be resilient.
In this context, he stated that using Bitcoin together with cash assets, including the dollar, could increase the financial resilience of digital credit products.
On the other hand, Strategy’s current cash reserves are said to be sufficient to cover approximately three years and six months of dividend payments.
Saylor’s statements reflect his expectation that Bitcoin can be used not only as an investment and store of value, but also as collateral for new digital financial products.
However, the feasibility of a Bitcoin-backed stablecoin model will depend on collateral management, liquidity conditions, and regulatory requirements.
*This is not investment advice.
