MicroStrategy CEO Sells Shares Prior to ETF Approval
Michael Saylor, the co-founder of MicroStrategy Inc., recently sold a significant number of shares in the company leading up to the approval of exchange-traded funds (ETFs) investing in Bitcoin by the U.S. Securities and Exchange Commission (SEC). According to Bloomberg, Saylor sold between 3,882 and 5,000 shares from January 2 to January 10, earning him over $20 million. This is the first time he has sold company shares in 12 years. MicroStrategy had previously sold $216 million worth of MSTR stock last week.
A spokesperson for MicroStrategy confirmed that Saylor’s share sales were part of a pre-existing plan disclosed last year and are unrelated to the recent ETF approvals. The planned sales involve up to 5,000 shares daily until April 26, 2024, with a total intention of selling as much as 400,000 shares during this period.
MicroStrategy’s Resilience and Recovery
MicroStrategy, a business intelligence firm with substantial Bitcoin holdings, experienced significant losses during the previous crypto winter. However, its current Bitcoin holdings have increased in value to around $8.3 billion, representing a paper gain of approximately 40%. This demonstrates the company’s resilience and recovery in the crypto market.
MSTR Stock Decline
MicroStrategy’s stock has declined by 23% since the beginning of the year due to concerns related to the introduction of Bitcoin ETFs. The company has long been considered a proxy for Bitcoin due to its significant holdings of the cryptocurrency on its balance sheet. The approval of alternative investment options through ETFs has introduced new dynamics to the market.
Despite this decline, MicroStrategy CEO Michael Saylor believes that the launch of spot Bitcoin ETFs will not negatively impact the company’s stock price.
Hot Take: MicroStrategy CEO Sells Shares Ahead of Bitcoin ETF Approval
MicroStrategy co-founder Michael Saylor sold a substantial number of company shares in the days leading up to the approval of Bitcoin exchange-traded funds (ETFs) by the U.S. Securities and Exchange Commission. These sales, totaling over $20 million, were part of a pre-existing plan and unrelated to the ETF approvals. Despite recent stock declines, MicroStrategy has seen significant gains in its Bitcoin holdings, highlighting its resilience in the crypto market. The launch of Bitcoin ETFs introduces new dynamics for MicroStrategy as it has long been considered a proxy for Bitcoin. However, CEO Michael Saylor remains confident in the company’s stock performance.
By
By
By
By