MegaStrategy is a decentralized system designed to become the largest onchain treasury of Ethereum. Treasury growth is fueled by a positive feedback loop and turbocharged by reactor-grade volatility.

WARNING: the digital volatility engine exhibits extreme gravitational effects — please secure loose ETH

Ethereum needs no introduction and we believe it is approaching a critical stage. The rise of alternative smart contract blockchains has been rapid, but these platforms face predictable challenges Vitalik outlined in his blockchain trilemma. Meanwhile Ethereum continues expanding access to the “world computer” by delivering on its technological roadmap. When it comes to blockchain platforms for decentralized applications, there is no second best. (Did you expect a different answer?)

Bitcoin faced similar challenges four years ago, dogged by rival chains positioning themselves as digital silver to its gold. While these competitors still technically exist today (for certain definitions of ‘exist’), no Proof-of-Work blockchain can recover in BTC terms. This change was profound and driven by digital acceleration of 2020. During the pandemic, widespread monetary stimulus and inflation concerns attracted many to Bitcoin’s fundamental promise — a decentralized, mathematically scarce alternative to fiat currency.

Michael Saylor transformed this narrative into action (and what action it was). Under his leadership (first as CEO, now as Executive Chairman), MicroStrategy adopted Bitcoin as its primary treasury asset and embarked on an unprecedented accumulation spree. Through strategic use of equity and debt financing, this self-proclaimed “Bitcoin Treasury Company” has amassed over 2% of Bitcoin’s total supply — surpassing Blackrock and behind only Coinbase, Binance, and Satoshi himself.

At the heart of their strategy (aptly named) lies an underappreciated financial instrument — convertible debt. MicroStrategy issues long-term debt that holders can convert to MSTR shares under specific conditions. They run this strategy as a publicly traded company with access to cheap debt and deep market liquidity. Saylor describes this approach as Intelligent Leverage — holding treasury assets in Bitcoin and denominating liabilities in dollars.

Ethereum’s programmable blockchain enables this entire strategy onchain. As newcomers discover the power of decentralized applications, we’re positioned to demonstrate their full potential. The close of 2024 marks the cusp of undeniable technological acceleration — we all feel it. (And those who don't soon will.) The next four years will witness a massive migration of capital and financial activity onchain. Eventually, most consumer financial applications will operate on blockchain rails — and users won’t even know. We believe Ethereum and its flourishing layer 2 ecosystem will capture the majority of this transformation.

MegaStrategy’s engine is powered by a key innovation — achieving leverage without short-term liquidation risk by securing debt at the protocol level (Saylor would be proud). The system operates through two token types: the Strategy Token (MGST) and Convertible Tokens (CVs). MGST represents the strategy’s treasury and provides leverage exposure to ETH, enabled by CVs which represent the system’s debt, convertible to MGST in predetermined conditions.

MegaStrategy builds on our experience over the past three years developing DeFi applications. The system architecture implements the battle-tested Default Framework, inspired by our Olympus v3 contributions. MGST will launch on Axis to establish protocol-owned liquidity. The strategy also uses Axis to optimize interest rates for CVs. Finally, Bond Protocol’s proven mechanisms will allow the system to scale.

We are putting the final touches on the codebase and preparing the launch sequence. Following comprehensive code review, we will schedule the Strategy Bootstrapping Event — target late January. The initial launch will focus on accumulating ETH to establish a foundation for our inaugural Convertible Auction.

Join us as we build the largest onchain treasury of Ethereum — and along the way make eth great again!

MegaStrategy is a decentralized system designed to become the largest onchain treasury of Ethereum. Treasury growth is fueled by a positive feedback loop and turbocharged by reactor-grade volatility.

WARNING: the digital volatility engine exhibits extreme gravitational effects — please secure loose ETH

Ethereum needs no introduction and we believe it is approaching a critical stage. The rise of alternative smart contract blockchains has been rapid, but these platforms face predictable challenges Vitalik outlined in his blockchain trilemma. Meanwhile Ethereum continues expanding access to the “world computer” by delivering on its technological roadmap. When it comes to blockchain platforms for decentralized applications, there is no second best. (Did you expect a different answer?)

Bitcoin faced similar challenges four years ago, dogged by rival chains positioning themselves as digital silver to its gold. While these competitors still technically exist today (for certain definitions of ‘exist’), no Proof-of-Work blockchain can recover in BTC terms. This change was profound and driven by digital acceleration of 2020. During the pandemic, widespread monetary stimulus and inflation concerns attracted many to Bitcoin’s fundamental promise — a decentralized, mathematically scarce alternative to fiat currency.

Michael Saylor transformed this narrative into action (and what action it was). Under his leadership (first as CEO, now as Executive Chairman), MicroStrategy adopted Bitcoin as its primary treasury asset and embarked on an unprecedented accumulation spree. Through strategic use of equity and debt financing, this self-proclaimed “Bitcoin Treasury Company” has amassed over 2% of Bitcoin’s total supply — surpassing Blackrock and behind only Coinbase, Binance, and Satoshi himself.

At the heart of their strategy (aptly named) lies an underappreciated financial instrument — convertible debt. MicroStrategy issues long-term debt that holders can convert to MSTR shares under specific conditions. They run this strategy as a publicly traded company with access to cheap debt and deep market liquidity. Saylor describes this approach as Intelligent Leverage — holding treasury assets in Bitcoin and denominating liabilities in dollars.

Ethereum’s programmable blockchain enables this entire strategy onchain. As newcomers discover the power of decentralized applications, we’re positioned to demonstrate their full potential. The close of 2024 marks the cusp of undeniable technological acceleration — we all feel it. (And those who don't soon will.) The next four years will witness a massive migration of capital and financial activity onchain. Eventually, most consumer financial applications will operate on blockchain rails — and users won’t even know. We believe Ethereum and its flourishing layer 2 ecosystem will capture the majority of this transformation.

MegaStrategy’s engine is powered by a key innovation — achieving leverage without short-term liquidation risk by securing debt at the protocol level (Saylor would be proud). The system operates through two token types: the Strategy Token (MGST) and Convertible Tokens (CVs). MGST represents the strategy’s treasury and provides leverage exposure to ETH, enabled by CVs which represent the system’s debt, convertible to MGST in predetermined conditions.

MegaStrategy builds on our experience over the past three years developing DeFi applications. The system architecture implements the battle-tested Default Framework, inspired by our Olympus v3 contributions. MGST will launch on Axis to establish protocol-owned liquidity. The strategy also uses Axis to optimize interest rates for CVs. Finally, Bond Protocol’s proven mechanisms will allow the system to scale.

We are putting the final touches on the codebase and preparing the launch sequence. Following comprehensive code review, we will schedule the Strategy Bootstrapping Event — target late January. The initial launch will focus on accumulating ETH to establish a foundation for our inaugural Convertible Auction.

Join us as we build the largest onchain treasury of Ethereum — and along the way make eth great again!