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Cryptocurrencies

Bitcoin Converts Among America's Rich: A Tale of Two Philanthropists

Strategic Insights

— 2 min read

Bitcoin has caught the attention of many high-profile individuals, including MicroStrategy's Michael Saylor and Block, Inc's Jack Dorsey. Although they represent different reasons for embracing the cryptocurrency, they share a common dedication to its potential. Saylor sees bitcoin as a means to enrich individuals through a paradigmatic shift in finance, while Dorsey views it as a tool to free people from mechanisms of control. The philanthropic efforts of these two entrepreneurs are worth noting. Dorsey has pledged $21 million to the open-source development of bitcoin and has invested in startups like Lightning Labs. Meanwhile, Block, the company behind Cash App, has devoted a portion of its bitcoin profits to buying additional bitcoin and contributing to the development of new products that expand its reach.

Key Takeaways:

  • **Divergent perspectives**: Saylor and Dorsey have distinct views on bitcoin's purpose, with Saylor focusing on its potential for price appreciation and Dorsey emphasizing its ability to grant permissionless and uncensorable access to funds.
  • **Philanthropic efforts**: Dorsey has pledged $21 million to bitcoin's open-source development and invested in startups like Lightning Labs, while Block has devoted a portion of its bitcoin profits to buying additional bitcoin and contributing to new product development.
  • **Bitcoin holding**: MicroStrategy, led by Saylor, holds 214,278 BTC, representing over 1% of the total supply, whereas Block holds 8,027 BTC.
  • **Unique focus**: Saylor and Dorsey are not interested in cryptocurrency in general but are invested specifically in bitcoin, with Saylor comparing their journeys in a recent podcast.
  • **Shared dedication**: Despite differing motivations, Saylor and Dorsey are fundamentally aligned in their commitment to bitcoin's potential.
  • **Cash App's role**: The app, launched by Block, has enabled mainstream users to easily access Bitcoin, contributing to its adoption.
  • **Block's bitcoin strategy**: Block contributes a portion of its bitcoin profits to buying additional bitcoin and is involved in developing new products to expand Bitcoin's reach.

Statistics:

  • **MicroStrategy's bitcoin holding**: 214,278 BTC, representing over 1% of the total supply.
  • **Block's bitcoin holding**: 8,027 BTC.
  • **Amount pledged by Dorsey**: $21 million to bitcoin's open-source development.
  • **Percentage of bitcoin profits used by Block**: 10% used for buying additional bitcoin.
  • **Time**: Recent talks and conferences attended by Saylor and Dorsey.

Sources:

  • Axios, "MicroStrategy's bitcoin hodling faces a margin call" (no date provided)
  • Axios, "Ten million accounts have bought bitcoin on Cash App" (no date provided)
  • YouTube, "Jack Dorsey's talk at Rick Rubin's secret festival in Tuscany" (no date provided)
  • YouTube, "Michael Saylor's talk at a May conference in Las Vegas" (no date provided)
  • The Information, "Jack Dorsey, Marc Andreessen, and the makings of a crypto holy war" (no date provided)
  • What Bitcoin Did, "Bitcoin is forever money" (no date provided)
  • Billboard, "Rick Rubin's secret festival in Tuscany" (no date provided)

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