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Peter Schiff Calls MicroStrategy a Fraud, Challenges Michael Saylor to Dubai Debate

The accusation spotlights MicroStrategy’s shift to costly preferred financing during a period of compressed valuation.

Overview

  • Schiff alleges that income-focused buyers of MicroStrategy’s high-yield preferred shares will never receive the published yields, warning of a potential “death spiral.”
  • He publicly invited Saylor to debate the company’s Bitcoin-centric treasury approach at Binance Blockchain Week in Dubai in December.
  • MicroStrategy moved in 2025 from issuing convertible bonds to STR-series preferred shares that carry substantially higher rates.
  • The stock has fallen over 50% since July as Bitcoin slid more than 20% from an October peak, with the company’s mNAV recently near 1.21 after dipping below 1.
  • The firm holds about 641,692 BTC at an average cost near $74,000 per coin, and Saylor has hinted at additional purchases.