MicroStrategy acquired an additional 27,200 Bitcoins, once again highlighting its cryptocurrency investment strategy.
MicroStrategy's Additional Bitcoin Purchase
MicroStrategy has announced the purchase of 27,200 Bitcoins worth approximately $2.03 billion. The average purchase price was $74,463 per Bitcoin, and the company now holds a total of 279,420 BTC valued at $24.83 billion, making MicroStrategy the largest corporate holder of Bitcoins.
Financing through Stock Sales
CEO Michael Saylor confirmed that the purchase was funded through the sale of company stock. This financing strategy allows MicroStrategy to acquire Bitcoins without depleting cash reserves or taking on debt, ensuring that it can expand its Bitcoin assets without affecting operational cash flows. Since adopting the Bitcoin investment strategy, the company's stock has shown significant growth, attributed to the rise in Bitcoin value and MicroStrategy’s prominent role as a major corporate BTC holder.
MicroStrategy’s Future Plan
A few weeks ago, MicroStrategy unveiled an ambitious '21/21 Plan,' aiming to raise $42 billion over the next three years to increase its Bitcoin holdings. The plan involves raising $21 billion through equity and another $21 billion through debt securities. Michael Saylor and President Phong Le believe that the additional capital will be vital in reinforcing the company’s position in the cryptocurrency sector.
These steps by MicroStrategy demonstrate its firm commitment to Bitcoin and the ambition to maintain its leadership in corporate cryptocurrency investment, continuing the large-scale expansion of its digital assets.
