Analysts argue the stock functions primarily as a leveraged Bitcoin proxy.
Economist Peter Schiff has renewed his criticism of Bitcoin-linked corporate strategies. This time, his focus is Strategy, the software firm best known for its aggressive Bitcoin accumulation under executive chairman Michael Saylor.
In a post on X, Schiff argued that if Strategy were part of the S&P 500, its 47.5% share price decline in 2025 would rank as the sixth worst performance in the index. While Strategy is not actually included in the benchmark. Peter Schiff said the comparison highlights what he sees as the cost of tying a company’s fortunes almost entirely to Bitcoin.
Schiff Targets Bitcoin-Heavy Corporate Strategy
Schiff said Strategy’s losses undermine Saylor’s long-standing claim that buying Bitcoin is the best move a company can make. He argued that Strategy has effectively centered its entire corporate identity on Bitcoin exposure. At the expense of shareholder value.
According to Schiff, the sharp decline in Strategy’s stock during 2025 shows how risky that approach can be during down cycles. He framed the year as evidence that Bitcoin-driven strategies do not protect investors. When prices fall and leverage amplifies losses. Schiff, a vocal Bitcoin skeptic and gold advocate, has often criticized companies that treat Bitcoin as a treasury reserve asset. His latest comments fit that broader narrative.
Market Pushback and Context From Critics
However, Schiff’s remarks quickly drew pushback across crypto and equity markets. Several analysts noted that comparing Strategy to traditional operating companies in the S&P 500 may be misleading. Supporters argue that Strategy functions less like a software firm and more like a leveraged Bitcoin proxy. From that view, its stock performance largely mirrors Bitcoin price action. Rather than operational metrics such as revenue growth or margins.
Others also pointed out that focusing on a single calendar year ignores the company’s longer-term thesis. Bitcoin fell sharply in 2025, and Strategy’s shares declined alongside it. Critics of Schiff’s take said that short time frames can exaggerate downside risk. While ignoring potential upside in future cycles.
Leverage, Dilution, and Investor Debate
The discussion also revived concerns around leverage and shareholder dilution. Some market participants argued that Strategy’s use of debt and equity issuance to fund Bitcoin purchases has magnified volatility. When prices rise, leverage boosts returns. When prices fall, losses deepen.
Several commentators said that while the Bitcoin thesis itself may remain intact, execution matters. They questioned whether aggressive capital raising during high-price periods hurt existing shareholders. Still, supporters countered that Strategy’s approach reflects a long-term hedge against fiat debasement, not a short-term trade. They argue that judging the strategy based on 2025 alone misses that broader objective.
A Debate Likely to Continue Into 2026
Schiff’s comments underline a growing divide between traditional macro thinkers and Bitcoin-focused corporate strategies. As markets head into 2026, that debate shows no sign of fading. Whether Strategy’s approach ultimately proves destructive or visionary may depend less on yearly rankings and more on Bitcoin long-term trajectory. Currently, Schiff and Saylor remain on opposite sides of one of crypto’s most polarizing arguments.
