MicroStrategy has sold shares of its public securities to buy more bitcoin. The company made $472 million in net proceeds and used the funds to buy 4,225 BTC at an average price of $111,827 per coin. MicroStrategy now owns 601,550 BTC, or 2.9% of its maximum supply. The company's common stock enjoys a generous 1.7X multiple to its $72 billion BTC treasury.
MicroStrategy has sold shares of its public securities to purchase more Bitcoin, raising $472 million in net proceeds. The funds were used to acquire 4,225 BTC at an average price of $111,827 per coin. As a result, MicroStrategy now owns 601,550 BTC, representing 2.9% of its maximum supply. The company's common stock enjoys a generous 1.7X multiple to its $72 billion BTC treasury.
This strategic move aligns with MicroStrategy's long-term commitment to Bitcoin as a store of value and a hedge against inflation. The company has consistently demonstrated its belief in Bitcoin's potential, even during periods of market volatility.
According to the latest information, as of December 2024, MicroStrategy owned 423,650 BTC [1]. The recent acquisition brings the company's total holdings to 601,550 BTC, further solidifying its position as the largest corporate Bitcoin holder.
Michael Saylor, the executive chairman of MicroStrategy, has been a vocal advocate for Bitcoin. His personal investment in Bitcoin, totaling 17,732 BTC, reflects his conviction in the cryptocurrency's long-term value [1]. Saylor's strategic decisions, including the recent share sale, are likely to influence other institutional investors, potentially driving further demand for Bitcoin.
The company's decision to raise funds through share sales and use them to purchase Bitcoin underscores its confidence in the cryptocurrency's potential for future price appreciation. This move also diversifies MicroStrategy's treasury reserves away from traditional assets, aligning with its long-term investment strategy.
In conclusion, MicroStrategy's latest acquisition of Bitcoin is a significant milestone in its ongoing strategy to accumulate the cryptocurrency. The company's actions are closely watched by the market, and its continued belief in Bitcoin's potential is likely to have a ripple effect on institutional interest in the cryptocurrency.
References:
[1] https://www.webopedia.com/crypto/learn/mstr-bitcoin-holdings-timeline/
[2] https://www.ainvest.com/news/microstrategy-resumes-bitcoin-buying-1-week-pause-2507/
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