Strategy Acquires 13,390 Bitcoin for $1.34 Billion, Boosts Holdings by 2.4%
Strategy, a prominent Bitcoin investment firm, recently made a significant addition to its cryptocurrency holdings. Between May 5 and May 11, the firm acquired 13,390 Bitcoin (BTC) for a total of $1.34 billion. This purchase was disclosed in a filing with the US Securities and Exchange Commission on May 12. The acquisition increased Strategy’s total Bitcoin holdings by 2.4%, bringing the total to 568,840 BTC. The average price per coin for this purchase was $99,856, with Bitcoin briefly surpassing the $100,000 mark on May 8.
This latest acquisition has strategic implications for the firm. According to co-founder Michael Saylor, the purchase has allowed Strategy to meet its 2025 Bitcoin yield target. The Bitcoin yield, which represents the percentage change in the ratio between the firm's BTC holdings and its assumed diluted shares, has reached 15.5%. This achievement is significant as Strategy aims to maintain this yield target throughout 2025, following a 74% BTC yield in the previous year.
The timing of this acquisition is noteworthy, as it coincides with Bitcoin's price surge above $100,000. This price movement underscores the firm's confidence in the long-term value of Bitcoin and its strategic decision to increase holdings during periods of high market valuation. The average price of $99,856 per BTC for the newly acquired coins reflects the firm's commitment to acquiring Bitcoin at premium prices, aligning with its long-term investment strategy.
Overall, Strategy's recent acquisition of 13,390 Bitcoin for $1.34 billion demonstrates the firm's continued commitment to Bitcoin as a key asset in its investment portfolio. The purchase not only increases the firm's holdings but also positions it to achieve its yield targets, reinforcing its strategic vision for the future of digital assets.