Business Intelligence organization, MicroStrategy, recently purchased an additional 7,420 Bitcoins (BTC), valued at approximately $458.2 million. This acquisition increases the company’s current holdings to a total of 252,220 BTC, at an average cost of $39,266 per coin. Now, as of present writing, the company’s Bitcoin cache stands at an impressive $15.9 billion, reinforcing MicroStrategy’s status as the largest corporate holder of Bitcoin reserves.
An SEC document filed on Friday divulged that MicroStrategy raised $1.01 billion through an offering of convertible senior notes. The subsequent revenue is intended for future acquisition of Bitcoins. While it remains unclear whether the recent Bitcoin purchase was financed by this reserve, MicroStrategy’s precedent illustrates a combination of debt financing and internal funds to gather Bitcoin. Despite the market’s volatility, the company has consistently grown its holdings.
In the previous week, MicroStrategy reported a purchase of 18,300 BTC—valued at about $1.1 billion at that time, making it the company’s most extensive acquisition since 2021. Additionally, earlier in the week, the company announced plans to raise $700 million to address earlier debts and procure additional Bitcoin.
Michael Saylor, MicroStrategy’s co-founder and former CEO, vocally advocates for Bitcoin as a corporate treasury asset. Stirring interest in 2020, when MicroStrategy became the first publicly-traded company to convert a major chunk of its cash reserves into Bitcoin. Ever since Saylor has lauded Bitcoin as a reliable hedge against inflation, even more secure than traditional assets like gold or cash.
Often emphasizing his faith in Bitcoin’s long-term possibilities, Saylor remains steadfast, undeterred by market upswings. Acknowledging Bitcoin’s decentralized nature, Saylor considers it a superior asset, particularly during economic uncertainty. As per Saylor, Bitcoin is the “apex asset” with its value storage capability poised to grow as it garners more institutional interest.
MicroStrategy’s total Bitcoin investment now stands at approximately $9.9 billion. The company’s stock value has risen by about 1% to a price of roughly $146, resulting in a year-to-date price increase of 113%.