MicroStrategy is bolstering its position in Bitcoin by adding an additional 1,070 BTC for $101 million, reflecting its confidence in the cryptocurrency's long-term value.
A Historic Year for Bitcoin and Crypto Markets
In 2024, Bitcoin reached six-figure valuations, forming the foundation for the world's first crypto-based ETF. This enhancement of Bitcoin's status as a leading digital asset has drawn institutional interest. Consequently, optimism surged, with predictions like the "Trump Bull Market" by Ripple CEO Brad Garlinghouse setting a positive tone for 2025.
Expanding Capital to Fuel Growth
MicroStrategy's recent SEC filing reveals plans to increase its authorized Class A common stock from 330 million to over 10 billion shares. Additionally, the company seeks to boost preferred stock capacity to over 1 billion shares. This move enhances financial flexibility and supports a $2 billion perpetual preferred stock offering to fund Bitcoin acquisitions and strengthen the company's balance sheet.
Deepening Commitment to Bitcoin
MicroStrategy's consistent purchases highlight its belief in Bitcoin's long-term value. With the launch of the "21/21 Plan," the company aims to raise $21 billion through equity and another $21 billion via fixed-income instruments over three years, having already acquired 195,250 BTC, which represents 45% of the target.
MicroStrategy continues its commitment to Bitcoin, enhancing its financial strategy and remaining confident in the cryptocurrency's potential.
