MicroStrategy Bitcoin Acquisition Continues To Strengthen With 850 New BTC

Key Points:

• MicroStrategy Bitcoin acquisition continues to consolidate, acquiring 850 BTC for $37.2 million, led by Chairman Michael Saylor.
• The company’s Bitcoin portfolio has grown by 31,755 BTC since Q3 2023, marking its largest quarterly increase in three years.

MicroStrategy, a leading software and business intelligence firm, has bolstered its commitment to Bitcoin by acquiring an additional 850 BTC, totaling a $37.2 million investment, as announced by Founder and Chairman Michael Saylor.

MicroStrategy Bitcoin Acquisition Bolsters with $37.2 Million New BTC

This latest MicroStrategy Bitcoin acquisition follows the company’s expansion of its Bitcoin portfolio by 31,755 BTC since the third quarter of 2023. Andrew Kang, MicroStrategy’s Chief Financial Officer, noted that this growth represents the largest quarterly increase in Bitcoin holdings over the past three years and marks the 13th consecutive quarter of Bitcoin accumulation.

Kang highlighted the significant surge in Bitcoin’s price during the fourth quarter, combined with MicroStrategy’s strategic maneuvers in capital markets and the effective use of cash reserves, enabling the company to acquire more Bitcoin.

In November, MicroStrategy indicated plans to raise up to $750 million through the sale of new Class A common stock shares, ultimately selling 1 million shares for $610 million by December’s end.

Saylor’s Bitcoin Bullishness Propels MicroStrategy Stock to New Heights

The initial MicroStrategy Bitcoin acquisition in August 2020 aimed to provide shareholders with better returns amid substantial cash reserves. Since becoming the first publicly traded company to allocate capital to Bitcoin in December 2020, MicroStrategy’s stock has grown approximately 300%.

Michael Saylor has touted Bitcoin as a safe long-term investment and an inflation hedge, dubbing it “digital gold” and a “bank in cyberspace.” Despite concerns from crypto market analysts regarding potential competition from traditional finance firms like BlackRock and Fidelity, Saylor appears unfazed, with the company’s stock soaring by 240% since entering the cryptocurrency market.