MicroStrategy Increases Bitcoin Holdings to $38 Billion: A Strategic Acquisition

MicroStrategy Increases Bitcoin Holdings to $38 Billion: A Strategic Acquisition

MicroStrategy – Business intelligence giant and prominent corporate Bitcoin holder MicroStrategy has continued its aggressive Bitcoin acquisition strategy, purchasing an additional 15,400 BTC for approximately $1.5 billion between Nov. 25 and Dec. 1, at an average price of $95,976 per Bitcoin. The company filed an 8-K with the Securities and Exchange Commission (SEC) on Monday, confirming the acquisition. This acquisition follows a sale of 3,728,507 shares of MicroStrategy stock, also raising the same amount during the same period.

As of Dec. 1, 2024, MicroStrategy now holds a total of 402,100 BTC, valued at more than $38 billion. The company’s Bitcoin portfolio was accumulated at an average price of $58,263 per Bitcoin, with a total expenditure of about $23.4 billion, factoring in all associated fees and expenses. This new purchase continues the company’s strategy of building its Bitcoin holdings to enhance its balance sheet and shareholder value.

Ongoing Strategy to Raise $42 Billion for Bitcoin Acquisitions

MicroStrategy’s continued Bitcoin purchases are part of a larger strategy to raise $42 billion over the next three years. This capital will be raised through a combination of a $21 billion equity offering and $21 billion in fixed-income securities, with the goal of acquiring additional Bitcoin in the future.

Bitcoin Yield Strategy Shows Significant Growth

In line with its expanding Bitcoin position, MicroStrategy uses a unique performance indicator called the “Bitcoin Yield,” which measures the percentage change in the company’s Bitcoin holdings relative to its diluted shares. As of Dec. 1, the Bitcoin Yield stood at 63.3%, reflecting significant growth in its Bitcoin holdings while managing share dilution.

Advice to Microsoft CEO: Adopt Bitcoin as Treasury Asset

Recently, Michael Saylor, the co-founder and executive chairman of MicroStrategy, advised Microsoft CEO Satya Nadella and the Microsoft board of directors to consider adopting Bitcoin as a treasury asset. This highlights the growing influence of corporate Bitcoin adoption in the broader tech industry.

MicroStrategy’s ongoing Bitcoin strategy showcases its commitment to becoming a leading player in the crypto space while enhancing its value for shareholders.

Disclaimer: This website’s content is for informational purposes only and does not constitute financial advice, with all cryptocurrency purchases carrying inherent risks.