Part 8/15:
A glaring contradiction: If Strategy held U.S. Treasuries yielding 4%, S&P might classify that as high-quality capital. Yet, holding appreciating Bitcoin—forecasted to grow 40% annually—is labeled risky simply because it doesn’t fit the old mold.
The Model’s Obsolescence and the Rise of a New Paradigm
This misclassification underscores a critical point: the prevailing credit risk models are obsolete in the face of the digital asset revolution. They are built on assumptions of static collateral, opaque leverage, and fiat reliance. Bitcoin, with its transparent, liquid, and globally accessible nature, exposes the fragility of these old frameworks.