MicroStrategy's $1.1B Bitcoin Buy: 10,107 BTC in 12 Weeks

MicroStrategy, a leading business intelligence firm, has made a significant investment in cryptocurrency by purchasing 10,107 Bitcoins for $1.1 billion. This acquisition, which took place between January 21 and 26, marks the company's twelfth consecutive week of Bitcoin purchases. With this latest purchase, MicroStrategy's Bitcoin holdings have expanded to 471,107 BTC, valued at approximately $46.7 billion at current market prices. The company has invested around $30 billion in Bitcoin, with an average cost of $64,500 per coin.

The recent acquisition was financed through stock sales. According to an SEC filing, MicroStrategy sold 2,765,157 shares during the same period, raising $1.1 billion in net proceeds. The company retains $4.35 billion in available shares under its sales agreement as of January 26, providing further financial flexibility for its Bitcoin strategy.

Shareholder approval has played a critical role in supporting this aggressive Bitcoin treasury strategy. Recently, shareholders approved an increase in authorized Class A common shares from 330 million to 10.3 billion and preferred stock from 5 million to 1 billion, securing 56% of votes in favor. This move aligns with the company's goal of raising $42 billion by 2027 for additional Bitcoin acquisitions.

In addition to its Bitcoin purchases, MicroStrategy has also filed a shelf registration statement with the SEC to enhance its financial flexibility for future Bitcoin purchases and working capital needs. The company plans to offer various securities, including bonds, common stock, preferred stock, warrants, and units, at different times in the future. This shelf registration would allow MicroStrategy to raise capital efficiently by "shelving" securities for sale when market conditions are favorable or when additional funds are required.

The filing also notes that these securities will be issued under carefully structured indentures and agreements to ensure compliance with regulatory standards. Global securities may also be utilized for efficient distribution. As of January 23, 2025, MicroStrategy had 231,632,665 shares of class A common stock and 19,640,250 shares of class B common stock outstanding.

MicroStrategy separately announced plans to issue 2.5 million shares of Series