Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnWeb3SquareMore
Trade
Spot
Buy and sell crypto with ease
Margin
Amplify your capital and maximize fund efficiency
Onchain
Going Onchain, without going Onchain!
Convert
Zero fees, no slippage
Explore
Launchhub
Gain the edge early and start winning
Copy
Copy elite trader with one click
Bots
Simple, fast, and reliable AI trading bot
Trade
USDT-M Futures
Futures settled in USDT
USDC-M Futures
Futures settled in USDC
Coin-M Futures
Futures settled in cryptocurrencies
Explore
Futures guide
A beginner-to-advanced journey in futures trading
Futures promotions
Generous rewards await
Overview
A variety of products to grow your assets
Simple Earn
Deposit and withdraw anytime to earn flexible returns with zero risk
On-chain Earn
Earn profits daily without risking principal
Structured Earn
Robust financial innovation to navigate market swings
VIP and Wealth Management
Premium services for smart wealth management
Loans
Flexible borrowing with high fund security
Michael Saylor: Accounting rules coming into effect next year may allow MicroStrategy to meet S&P 500 profit requirements

Michael Saylor: Accounting rules coming into effect next year may allow MicroStrategy to meet S&P 500 profit requirements

CointimeCointime2024/12/22 09:22
By:Cointime

 on December 22nd, Barrons reported that Michael Saylor, chairman of MicroStrategy, did not explicitly say whether the company might be included in the SP 500 in a recent interview, but he said that given the optimistic outlook for Bitcoin, MicroStrategy may report quarterly net income of billions of dollars next year due to the increase in the value of Bitcoin holdings. The accounting rule changes that will take effect in 2025 may enable MicroStrategy to meet the profitability requirements for joining the SP 500.

It is reported that MicroStrategy's traditional software business (its main business before it started buying a large amount of Bitcoin in 2020) is relatively small and may be valued at only about $1 billion. In addition, according to GAAP (Generally Accepted Accounting Principles) calculations, the business is in a loss-making state, which alone is difficult to meet the inclusion requirements of the SP 500 index. The upcoming accounting rules will adjust the company's Bitcoin holdings from the current undervaluation to fair market value and may bring significant net income growth when Bitcoin prices rise. However, the SP Global Index Committee decides on SP 500 index members by invitation, reviewing profitability, market value, and other factors.

0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Earn new token airdrops
Lock your assets and earn 10%+ APR
Lock now!