Bitcoin News Today: MicroStrategy Upsizes Preferred Stock Offering to $2.8B to Fund Bitcoin Purchases

MicroStrategy has significantly expanded its preferred stock offering to $2 billion, a move designed to fund further Bitcoin acquisitions and solidify its position as a major player in the cryptocurrency market. The company, led by CEO Michael Saylor, initially proposed a $500 million funding round but increased it to $2.8 billion following strong investor demand, according to Bloomberg [1]. This “Series A Perpetual Stretch” offering, priced at $90 per share—a discount to the $100 face value—was upsized to meet strategic objectives, including the purchase of up to 1 million Bitcoin [2]. The expanded raise follows a previous $2.5 billion preferred stock sale reported by MSN in mid-July, underscoring the company’s aggressive capital-raising efforts to bolster its digital asset holdings [3].

MicroStrategy’s current Bitcoin portfolio stands at 607,770 BTC, representing approximately 66% of publicly traded Bitcoin in the U.S. corporate sector, as noted by Bitbo [4]. The company has consistently positioned itself as a corporate buyer of Bitcoin, treating the asset as a long-term investment and a hedge against inflation. The latest funding expansion aligns with this strategy, enabling MicroStrategy to capitalize on Bitcoin’s recent price surge, which has outperformed the S&P 500 in 2025 [5]. Analysts suggest that the company’s ability to secure commitments from major investment banks despite market volatility indicates strong confidence in its financial model and the perceived value of Bitcoin as a reserve asset [6].

The decision to issue perpetual preferred shares, which carry no maturity date, reflects MicroStrategy’s long-term vision. These shares offer investors a fixed dividend, though the exact rate was adjusted during the upsizing process to attract broader participation [7]. By leveraging its stock market capitalization and the growing demand for Bitcoin, MicroStrategy aims to maintain a competitive edge in the evolving crypto landscape. The company’s approach has sparked debates about the role of corporate treasuries in driving cryptocurrency adoption, with critics cautioning against overexposure to a highly volatile asset. However, Saylor has repeatedly defended the strategy, emphasizing Bitcoin’s potential to appreciate against traditional currencies and its utility as a digital store of value.

The market response to MicroStrategy’s actions has been mixed. While the company’s stock has outperformed broader indices amid Bitcoin’s rally, the expanded offering has raised questions about potential dilution for existing shareholders. Nonetheless, the surge in institutional interest in Bitcoin, as evidenced by MicroStrategy’s fundraising success, highlights a shifting narrative in which corporations increasingly view crypto as a legitimate asset class. This trend could influence other firms to adopt similar strategies, potentially accelerating Bitcoin’s integration into mainstream finance.

MicroStrategy’s latest move underscores its commitment to reshaping corporate treasury management through digital assets. By securing additional capital, the company aims to cement its role as a leading Bitcoin buyer while navigating the complexities of market dynamics and investor expectations. The outcome of this strategy will likely serve as a case study for how traditional businesses adapt to the evolving financial ecosystem.

Sources:

[1] [Bloomberg](https://www.bloomberg.com/news/articles/2025-07-24/saylor-s-strategy-expands-preferred-stock-offering-to-2-billion)

[2] [CryptoDnes.bg](https://cryptodnes.bg/en/microstrategy-launches-2-billion-raise-to-buy-more-bitcoin/)

[3] [MSN](https://www.msn.com/en-us/money/markets/microstrategy-sells-2-5-billion-of-preferred-stock-more-bitcoin-buys-likely/ar-AA1Ji3AP?ocid=finance-verthp-feeds)

[4] [Bitbo](https://bitbo.io/news/strategy-raises-2b-bitcoin/)

[5] [Cointelegraph](https://cointelegraph.com/news/strategy-raises-2b-preferred-stock-bitcoin-rally)

[6] [BeInCrypto](https://beincrypto.com/microstrategy-perpetual-stock-offering-bitcoin-purchase/)

[7] [CCN.com](https://www.ccn.com/news/crypto/strategy-upsizes-stretch-offering-2b-buy-more-bitcoin/)