Blockstream’s Adam Back argues that the premium on Strategy’s stock reflects sound investor expectations based on the firm’s consistent growth in Bitcoin holdings.
Blockstream CEO Adam Back has defended the premium on Strategy (MSTR) stock, saying it is justified by the company’s ability to double its Bitcoin per share in under two years — a track record that de-risks long-term investment.
Speaking at the BTC Prague 2025 conference in an interview with podcaster Stephan Livera, Back emphasized that Strategy’s premium, which currently sits at around 1.7x to 1.9x its market net asset value (mNAV) depending on the calculation method, isn’t unreasonable when viewed through a performance-based lens.
“It turns out in the case of MicroStrategy it’s been 16 months, 18 months,” Back said. “So you can see that that’s not an unreasonable premium.”
Bitcoin perma-bull @adam3us of @Blockstream shares his thoughts on
– Bitcoin Treasury companies
– Why Bitcoin treasury companies are valued at a premium
– Real world assets on @Liquid_BTC pic.twitter.com/JEqyCOXpQt— Stephan Livera (@stephanlivera) June 21, 2025
Premium Reflects Strategic Growth, Not Hype
Back explained that if Strategy continues to grow its Bitcoin per share at the current rate, investors purchasing at a premium would reach parity with market value within about 18 months — thereby reducing their risk exposure over time.
“You’re de-risked actually,” Back said. “It’s got a hard currency base at that level.”
Strategy, formerly known as MicroStrategy and chaired by Michael Saylor, has become the largest Bitcoin-holding public company, with 592,100 BTC worth approximately $60.89 billion, according to SaylorTracker.
MSTR’s Use of Leverage Supports Treasury Strategy
The company has funded its Bitcoin acquisitions using a mix of at-the-market (ATM) equity offerings and convertible senior notes, tools that have helped it increase exposure to Bitcoin far beyond what traditional balance sheet operations would allow.
As of Friday’s close, MSTR shares were trading at $369.70, down 7.45% over the past 30 days, according to Google Finance data. Despite the short-term drop, Back argues the long-term trajectory supports the premium.
“One way to think about the premium is: how many months does it take to overcome the premium?”
Premium Risk Varies by Company, Back Says
While Back praised Strategy’s disciplined approach, he warned that investing in Bitcoin treasury stocks with elevated mNAV multiples could be speculative.
“It can be a bit speculative when you get higher mNAVs,” Back noted, “but the treasury companies with high mNAVs also have a very high yield.”
He highlighted the case of Japanese investment firm Metaplanet, which has experienced mNAV fluctuations between 5x and 10x, making it riskier for retail investors.
“If you hold it at 10, then it quickly drops to 5, that’s going to be a nervous experience,” Back said. “But so far, it’s tended to bounce back after that.”
Metaplanet Surpasses Coinbase in BTC Holdings
Metaplanet, which has aggressively expanded its Bitcoin treasury over the past year, announced its latest purchase of 1,112 BTC on June 16, bringing its total holdings to 10,000 BTC.
That figure now places Metaplanet ahead of Coinbase in the rankings of public companies holding Bitcoin, marking it as the seventh-largest corporate Bitcoin holder globally.
Conclusion
Back’s comments underscore a growing divide among crypto investors between those who accept a premium for operational leverage and strategic growth, and those wary of speculative exposure. For Back, Strategy’s historical ability to grow its holdings in a disciplined and transparent way makes its premium valuation a calculated trade-off, not a speculative gamble.
As more companies like Metaplanet and Semler Scientific pursue aggressive Bitcoin treasury strategies, the question of premium justification will continue to shape investor sentiment — especially as Bitcoin prices flirt with six-figure territory.
