MicroStrategy — the publicly traded company best known for holding bitcoin on its balance sheet – has reportedly attracted more than $1.6 billion worth of orders for its latest deal to purchase bitcoin — four times the initially sought amount.
The software firm announced earlier this week it would issue $400 million worth of junk bonds in a private offering, with a view to using the proceeds to purchase Bitcoin (BTC).
Junk bonds are debt offerings by companies without investment-grade credit ratings and typically offer investors higher returns while carrying higher risk. Returns between 6.125% and 6.25% have been floated for the bonds, eclipsing the returns offered by treasury bonds.
According to Bloomberg, the company has been inundated with demand for orders, “including interest from a large number of hedge funds.”
MicroStrategy currently holds the most Bitcoin (about 92,079) on its balance sheet out of all publicly traded companies, amounting to a dollar valuation of around $3.2 billion — more than twice the value of Bitcoin held by Tesla ($1.4 billion).