Michael Saylor, chairman of Strategy, expressed doubts about the company pursuing acquisitions of Bitcoin treasury firms, deeming the current market too unstable. He noted that despite the attractiveness of potential mergers, the unpredictability could jeopardize their viability down the road.

“Generally, we don’t have any plans to pursue M&A [merger and acquisition] activity, even if it would look to be potentially accretive,” Saylor commented during an investor call, emphasizing the uncertainty surrounding acquisitions.

Analysts posit that as the competition intensifies in the Bitcoin treasury market, firms might have to consolidate. A notable example is Strive, which recently announced a merger with competitor Semler Scientific, raising its Bitcoin reserves to 11,006 BTC.

Saylor remained open to the idea of acquisitions, stating:

“I don’t think we would ever say ‘we would never, never, never, ever,’ but what we would say is the plan, the strategy, the focus is to sell digital credit, improve the balance sheet, buy Bitcoin, and communicate that to the credit and the equity investors.”

Strategy’s CEO Phong Le concurred, asserting that M&As in the software sector, where Strategy mainly operates, are inherently challenging.

Saylor highlighted that the company’s Bitcoin accumulation strategy allows analysts and investors to easily evaluate its financial health, claiming all their Bitcoin purchases are deemed accretive. S&P Global recently assigned Strategy a “B-” credit rating, categorizing it among speculative, non-investment-grade companies. Le noted that the rating reflects the lack of credit consideration for their Bitcoin holdings.