Strategy's approach of issuing preferred shares to fund bitcoin purchases has drawn criticism from Ripple CEO Brad Garlinghouse, who labeled the model 'financial engineering' that distracted the broader market. Garlinghouse pointed to the slide of STRC, one of Strategy's preferred-stock instruments, to a record low as evidence that the funding strategy championed by Michael Saylor has harmed the crypto sector. Despite his criticism, the Ripple chief reiterated a bullish stance on bitcoin itself. Garlinghouse leads the company behind XRP, a token often viewed as a rival to bitcoin, which adds a competitive dimension to his remarks. The comments highlight ongoing debate within the industry over leveraged corporate treasury strategies and whether they expose the market to additional risk during periods of price volatility.
— Sponsored —
Trade smarter on BYDFI
Get a bonus on your first deposit — from $50 at $100, up to $2,000 at $20k. 200x leverage, 600+ perpetuals, deep liquidity.