Strategy, led by Michael Saylor, continues to increase its bitcoin reserves by acquiring 705 BTC for $75.1 million, strengthening its market position.
New Bitcoin Acquisition
Strategy formalized its latest purchase via a regulatory filing with the SEC on June 2. The company spent $75.1 million to acquire 705 bitcoins between May 26 and June 1 at an average price of $106,495 per unit. This purchase increases Strategy's reserves to 580,955 bitcoins, representing nearly 2.75% of the total theoretical supply of 21 million bitcoins. The company's cumulative investment now amounts to $40.68 billion, with an average acquisition cost of $70,023 per BTC.
Market and Competition
This new acquisition takes place in a context where questions about the transparency of Strategy's bitcoin reserves are growing. Some observers demand more formal 'proofs of reserves,' while Saylor justifies his discretion due to security imperatives. Meanwhile, the pace of Strategy's accumulation appears to be slowing slightly amid increasing institutional competition, with more than 110 publicly traded companies holding bitcoin, up from 89 a month ago.
Investor Support
Despite these challenges, Saylor's strategy continues to attract investors. MSTR stock remains closely correlated with bitcoin movements, providing indirect exposure to the crypto asset for traditional portfolios. This dynamic transforms Strategy into a genuine bitcoin proxy in traditional financial markets, maintaining its position as a leader in institutional bitcoin adoption and contributing to legitimizing crypto among professional investors.
Strategy reaffirms its faith in bitcoin with this latest acquisition. In a growing institutional investment climate, Michael Saylor continues to bet on the future of digital gold, and so far his strategy is proving effective.
