MicroStrategy acquired 51,780 bitcoins between November 11 and November 17, 2024, for a total of $4.6 billion. This marks one of the largest single-week Bitcoin purchases, further increasing the company's holdings.
Details of the Latest Purchase
According to the company's announcement, the 51,780 BTC were purchased at an average price of $88,627 per bitcoin, including fees and expenses. The purchase was funded through the issuance and sale of MicroStrategy’s Class A common stock under an At-the-Market (ATM) Sales Agreement.
ATM Agreement and Financing
MicroStrategy's ability to fund such large purchases stems from its ATM Sales Agreement, signed on October 30, 2024. This agreement allows the company to issue and sell shares worth up to $21 billion through multiple sales agents. Between November 11 and November 17, MicroStrategy issued 13.6 million shares, generating $4.6 billion in net proceeds.
MicroStrategy's Bitcoin Strategy
MicroStrategy's massive Bitcoin holdings align with its long-term vision. Michael Saylor, the company's founder and executive chairman, has been an outspoken advocate of Bitcoin as a store of value and inflation hedge. This latest step strengthens MicroStrategy’s position as the largest corporate holder of Bitcoin.
This purchase comes at a time when Bitcoin is trading near its all-time high. Following the news of the acquisition, Bitcoin's price surged over $93,000.
