Maverick Bitcoin After reporting a $1 billion loss, Michael Saylor resigns as CEO of MicroStrategy

Michael Saylor, one of the most vocal Bitcoin supporters, has resigned as CEO of his business analytics firm MicroStrategy. On Tuesday, August 2, the corporation announced a second-quarter loss of approximately $1 billion.

A $917.8 million loss was incurred as a result of impairment charges when the price of Bitcoin fell. MicroStrategy reported possessing 129,699 Bitcoins worth $1.988 billion as of June 30. Since the summer of 2020, the company has been amassing Bitcoins.

Saylor, on the other hand, will now serve as MicroStrategy’s executive chairman. He stated that he will now focus solely on cryptocurrency hoarding. Saylor stated in a statement on Tuesday:

“As Executive Chairman I will be able to focus more on our bitcoin acquisition strategy and related bitcoin advocacy initiatives, while Phong will be empowered as CEO to manage overall corporate operations.”

Short Positions in MicroStrategy Surge

Following this year’s Bitcoin correction, MicroStrategy (NASDAQ: MSTR) stock has come under significant pressure. Although crypto enthusiasts have backed Saylor’s Bitcoin investment, some Wall Street analysts believe it is a risky move for a publicly traded firm.

According to the most recent data, short bets on MicroStrategy have been increasing recently. The MSTR stock, like the BTC price, experienced a minor bounce in July. However, other doubters feel that this will fizzle out fast.

“A record 51% of MicroStrategy’s available shares are currently sold short, carrying a notional value of $1.35 billion, according to financial analytics firm S3 Partners. The all-time high of 4.73 million shares shorted has soared by 1.2 million shares over the past 30 days alone, S3 says”.

However, if the BTC price recovers from here, the MSTR stock price may rise as well. Bitcoin is currently trading at $22,865, with a market worth of $436 billion as of press time.