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    Home » Tom Lee calls MicroStrategy’s $1.44 billion cash reserve a smart defensive move

    Tom Lee calls MicroStrategy’s $1.44 billion cash reserve a smart defensive move

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    By chloe on December 12, 2025 Companies
    Futuristic boardroom scene with holographic BTC and ETH reserves and a shield-like fiat cash buffer.
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    MicroStrategy’s $1.44 billion cash reserve established in dic. de 2025 was described as “smart” by Tom Lee, chairman of BitMine Immersion Technologies, who argued the buffer protects shareholder distributions and liquidity while the company maintains an aggressive Bitcoin treasury.

    Lee said the reserve serves two practical purposes: securing dividends and maintaining operational liquidity. A large fiat buffer allows MicroStrategy to fund regular distributions without tapping its Bitcoin holdings, avoiding forced sales that would crystallize losses and undermine long-term treasury strategy. MicroStrategy’s CEO has acknowledged a “Bitcoin sell trigger tied to mNAV and capital markets stress,” indicating the cash reserve is intended as the first line of defence against capital-markets shocks.

    A treasury strategy is using company funds to buy and hold crypto assets as investments rather than for immediate spending. In this case, the cash reserve separates short-term liabilities from the volatility of Bitcoin, preserving strategic exposure while ensuring day-to-day costs and debt servicing can be met without resorting to distressed sales.

    BitMine’s treasury push and where it contrasts with MicroStrategy

    Lee contrasted MicroStrategy’s approach with BitMine’s own rapid Ethereum accumulation. BitMine launched its ETH treasury initiative on 30 de jun. de 2025 with a $250 million private placement and, according to the reported figures Lee cited, had amassed more than 3.7 million ETH by finales de 2025. The company’s reported total crypto and cash holdings exceed $14 billion, and its ETH acquisition pace has been described as roughly 12 times faster than MicroStrategy’s early Bitcoin purchases.

    BitMine has said it seeks to hold 5% of Ethereum’s total supply, a stated milestone that frames its ongoing purchases. The firm reports cash reserves of $305 million and has references to up to $1 billion in cash on hand, signalling an effort to combine aggressive accumulation with liquidity buffers similar in purpose to MicroStrategy’s $1.44 billion reserve. Lee has also warned that Bitcoin could face deep drawdowns even amid ETF-driven demand, and he has publicly advanced bullish ETH price scenarios while stressing the need for cash management.

    Tom Lee’s endorsement frames MicroStrategy’s cash reserve as a pragmatic hedge that preserves an aggressive crypto treasury strategy by protecting distributions and avoiding distress sales.

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    chloe

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