Canadian rapper Drake recently shared MicroStrategy CEO Michael Saylor’s optimistic views on Bitcoin with his massive Instagram following of 146 million on March 12. Saylor, known for his strong support of Bitcoin, predicted that the digital currency would eventually surpass gold as the ultimate store of value.
During the 2021 bull market, celebrity endorsements played a significant role in attracting new retail investors to the world of cryptocurrencies. For instance, comedian Larry David appeared in an FTX Super Bowl ad promoting crypto adoption, only to later express regret after FTX’s collapse in 2022.
Drake’s subtle post featuring Saylor’s comments on Bitcoin hints at the potential for high-profile celebrity engagement to once again spark interest as the crypto market gears up for another bull cycle. In a recent CNBC interview, Saylor passionately argued that Bitcoin’s advantages over gold as a store of value are undeniable.
Saylor emphasized Bitcoin’s digital, mobile, and secure attributes compared to traditional precious metals, stating, “The world needs a perfect store of value, and Bitcoin is that perfect store of value.”
While Drake’s post doesn’t explicitly endorse investing, his decision to highlight Saylor’s positive remarks on Bitcoin to his vast Instagram audience contributes to a favorable narrative for the cryptocurrency space.
On March 11, Bitcoin reached a new all-time high of over $70,000, positioning the digital asset on track to potentially become the most valuable asset globally. Meanwhile, MicroStrategy reaffirmed its confidence in Bitcoin by acquiring an additional 12,000 BTC for approximately $821.7 million, at an average price of $68,477 per coin.
As of March 12, 2024, MicroStrategy’s Bitcoin holdings have surged to an impressive 205,000 BTC, valued at over $6.91 billion, with an average cost of $33,706 per BTC.
Historically, celebrity endorsements in the crypto space have often preceded bull market cycles, attracting attention from both investors and regulators. Celebrities like Lindsay Lohan, Floyd Mayweather, Jake Paul, and Matt Damon have all endorsed various cryptocurrency projects, leading to regulatory scrutiny.
However, such involvements have not been without controversy, with the SEC charging eight celebrities for promoting cryptocurrencies like Tronix (TRX) and BitTorrent (BTT) without disclosing payments. Kim Kardashian notably paid over $1.2 million to the SEC for unlawfully promoting a crypto security offered by EthereumMax without disclosing the payment received for the promotion on social media.
Despite these challenges, prominent figures like Elon Musk and Paris Hilton have publicly acknowledged their ownership of Bitcoin. Drake’s amplification of Saylor’s bullish stance on Bitcoin could potentially signal a resurgence of retail investor interest in the cryptocurrency markets.
In conclusion, Drake’s endorsement of Saylor’s positive outlook on Bitcoin may serve as an early indicator for both traditional and crypto investors, suggesting a renewed enthusiasm for digital assets among retail participants.