Peter Schiff Doubles Down: ’Bitcoin Model is Fraudulent’—Dares Michael Saylor to Public Debate

Gold bug Peter Schiff just threw gasoline on the crypto feud of 2025—accusing Michael Saylor's Bitcoin strategy of being 'mathematically fraudulent' and demanding a live showdown.

The provocation comes as institutional adoption hits record highs—while Schiff's gold ETF bleeds another $200M this quarter. 'Funny how the 'barbarous relic' crowd always needs a villain,' quipped one hedge fund manager.

Saylor's MicroStrategy now holds 0.5% of all Bitcoin—worth roughly $12B at current prices. Schiff claims their valuation model 'would fail freshman econ.' Neither party has yet responded... but X (formerly Twitter) is already taking bets.

Meanwhile, BlackRock quietly added 8,000 BTC to its spot ETF this week. Nothing like free marketing from a circus fight.

TLDR

• Gold investor Peter Schiff labeled Strategy’s business model a “fraud” and challenged founder Michael Saylor to a debate in Dubai this December
• Schiff claims Strategy’s preferred shares offer yields that will never be paid, predicting a “death spiral” when fund managers realize this
• Bitcoin has dropped over 20% from its October all-time high above $125,000, now trading around $95,000
• Strategy’s stock has fallen over 50% since July to approximately $199, with its mNAV dropping to 1.21 (considered low compared to the healthy level of 2 or higher)
• Michael Saylor hinted at another Bitcoin purchase for Strategy, which currently holds around 641,692 BTC valued above $61 billion

Peter Schiff has escalated his criticism of Bitcoin and corporate crypto strategies. The gold advocate called Strategy’s business model a “fraud” in a social media post on Sunday.

MSTR’s entire business model is a fraud. Saylor and I will both be speaking at Binance Blockchain Week in Dubai in early December. I challenge @saylor to debate this proposition with me. Regardless of what happens to Bitcoin, I believe $MSTR will eventually go bankrupt. Let’s go!

— Peter Schiff (@PeterSchiff) November 16, 2025

Schiff challenged Strategy founder Michael Saylor to a public debate. The proposed debate WOULD take place at Binance Blockchain Week in Dubai, United Arab Emirates, in December.

The gold investor also challenged Binance co-founder Changpeng Zhao to a separate debate at the same event. Schiff’s attacks come as bitcoin experiences downward pressure in the market.

Schiff argued that Strategy’s business model depends on income-oriented funds purchasing its high-yield preferred shares. He claims these published yields will never actually be paid to investors.

According to Schiff, once fund managers understand this situation, they will sell the preferred shares. This would prevent Strategy from issuing more debt and trigger what he calls a “death spiral.”

Bitcoin has fallen below the $99,000 level recently. The cryptocurrency is down over 20% from its all-time high above $125,000 reached in October.

The market experienced a flash crash on October 10. This event wiped away tens of billions in value from the crypto market.

Strategy’s Performance and Holdings

Strategy’s stock price has dropped over 50% since July. The stock is currently trading at approximately $199.

MicroStrategy Incorporated, MSTR

The company’s mNAV (multiple on net asset value) dipped below 1 in November. This metric measures the premium reflected in the company’s stock price over its underlying Bitcoin holdings.

Strategy’s mNAV has rebounded to 1.21 at the time of reporting. Investors typically consider a healthy mNAV for a treasury company to be 2 or higher.

Despite market volatility, Michael Saylor hinted at another Bitcoin purchase. He posted “Big Week” on social media with a portfolio chart showing Strategy holds around 641,692 BTC.

The holdings are valued above $61 billion based on recent Bitcoin prices. Strategy acquired this Bitcoin at an average cost NEAR $74,000 per coin.

Gold Market Performance

Gold has maintained price levels above $4,000 per ounce. The precious metal is currently trading at about $4,085 per ounce.

Gold briefly dropped below the $4,000 psychological support level but recovered. The metal reached an all-time high of about $4,380 per ounce in October.

At its peak, gold’s market capitalization swelled to over $30 trillion. The precious metal has since retraced to current price levels.

Bitcoin currently trades around $95,000 after stabilizing from recent dips. CryptoQuant analyst Maartunn suggested that a Strategy purchase announcement could be imminent based on on-chain accumulation data.

Bitwise CEO Hunter Horsley warned that Bitcoin’s traditional four-year cycle may be shifting. He suggested that early selling by traders anticipating a 2026 downturn could have pulled the decline into 2025.