Peter Schiff Says Strategy’s Bitcoin Losses Would be Much Greater over Next Five Years

Economist Peter Schiff has once again challenged the Bitcoin investment thesis after Strategy disclosed a fresh purchase made shortly before a sharp market downturn.

The timing of the acquisition has reignited debate over whether aggressive Bitcoin accumulation remains prudent amid heightened volatility.

Key Points

• Strategy bought 855 Bitcoin for $75.3 million, shortly before a sharp price drop.
• Bitcoin fell below $80,000 days after the purchase, hitting $72,945.
• Strategy now holds over 713,000 Bitcoin, with an average cost of $76,000 per coin.
• Peter Schiff criticized the timing, highlighting a limited profit buffer and high risk exposure.
• Schiff reiterated that Bitcoin remains speculative and companies with concentrated holdings face volatility risks.

Strategy’s Latest Bitcoin Purchase and Market Timing

Earlier this week, Strategy, chaired by longtime Bitcoin advocate Michael Saylor, announced the purchase of 855 Bitcoin for approximately $75.3 million. The company said it paid an average of nearly $88,000 per coin, with the transaction funded by the issuance of common stock.

While modest compared with many of Strategy’s earlier acquisitions, the timing attracted scrutiny. Within days of the disclosure, Bitcoin fell below $80,000 for the first time since April 2025. Selling pressure intensified this week, pushing prices down to around $72,945, well below Strategy’s most recent purchase level.

Despite the decline, Strategy’s overall exposure remains substantial. The company now holds more than 713,000 Bitcoin, acquired at a total cost of roughly $54.26 billion. According to company data, the average purchase price across its holdings is about $76,000 per coin.

Schiff Questions Returns and Risk Exposure

Against this backdrop, Peter Schiff renewed his criticism of Strategy’s Bitcoin strategy. Writing on social media platform X, he argued that after years of accumulation, the company’s Bitcoin position sits only marginally above breakeven, leaving little buffer against sharp price swings.

Building on that point, Schiff also questioned the decision to buy ahead of the downturn, noting that Bitcoin briefly fell below $75,000 and has continued trading well under Strategy’s latest purchase price. In his view, waiting for lower levels could have reduced downside risk.

A long-time critic of cryptocurrency, Schiff reiterated his stance that Bitcoin remains a speculative asset with uncertain fundamentals. He warned that companies with large, concentrated crypto holdings are particularly exposed to sudden, unpredictable market moves.

Continuing Debate on Bitcoin’s Future

The exchange also connects to earlier remarks by Michael Saylor on long-term asset performance. In a recent post, Saylor described Bitcoin, Strategy shares, and Nvidia stock as among the leading assets of the decade. Schiff pushed back, arguing that the results from Strategy’s Bitcoin strategy paint a different picture.

Schiff pointed out that despite investing more than $54 billion into Bitcoin over the past five years, Strategy is currently down about 3% on that position. Rejecting claims that Bitcoin has been the world’s best-performing asset, he warned that the downside may only be beginning, stating, “I’m sure the losses over the next five years will be much greater!”