Michaela
MicroStrategy has further increased its Bitcoin reserves, acquiring 15,400 BTC for an estimated $1.5 billion. This latest purchase continues the company’s strategy of bolstering its digital asset holdings.
According to a Form 8-K, the business intelligence company acquired the massive amount of BTC for an average price of $95,976 per Bitcoin.
MicroStrategy CEO Michael Saylor announced on X that the company’s recent purchase brought its Bitcoin returns to 38.7% for the quarter and 63.3% for the year. As of December 1, MicroStrategy’s Bitcoin holdings have reached a total of 402,100 BTC, representing an investment of approximately $23.4 billion.
Its strategic accumulation of Bitcoin continues to strengthen its position as one of the largest corporate holders of the cryptocurrency, with the average purchase price for the holdings estimated at $58,263 per Bitcoin.
MicroStrategy’s purchase was financed through the sale of Class A common stock under an existing agreement. This allows the company to issue and sell shares, raising capital for various purposes, including its Bitcoin strategy.
Related: Strategy Sells $1.4B in Stock to Cover Bills Amid Bitcoin Slump
Between November 25 and December 1, MicroStrategy had sold about 3.7 million shares, generating nearly $1.48 billion in net proceeds.
Saylor Champions Bitcoin
Saylor has been an outspoken advocate for Bitcoin, emphasizing its potential as a premier store of value. His championing of Bitcoin began in 2020 when he moved a significant portion of his company’s treasury reserves into it.
He argues that Bitcoin’s fixed supply and decentralized nature make it a more dependable asset compared to the inflationary tendencies of traditional financial systems. Saylor has also been vocal on how cryptocurrency could play a key role in the future of corporate balance sheets.
Related: The History of Altcoins: How Bitcoin’s Rivals Changed the Crypto Game
The company’s acquisition of additional BTC immediately followed Saylor’s 3-minute pitch to Microsoft’s Board of Directors. Saylor advised the tech giant that it could increase its market capitalization by nearly $5 trillion if it fully embraced Bitcoin as part of its financial strategy.
“It makes a lot more sense to buy Bitcoin than buy your own stock back, or to hold Bitcoin rather than holding bonds,” Saylor stated in his 44-slide presentation.
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MICHAELA
Michaela is a news writer focused on cryptocurrency and blockchain topics. She prioritizes rigorous research and accuracy to uncover interesting angles and ensure engaging reporting. A lifelong book lover, she applies her passion for reading to deeply explore the constantly evolving crypto world.
