MicroStrategy Increases Bitcoin Holdings
MicroStrategy has revealed that it acquired 850 Bitcoin in January for $37.2 million, bringing its total holdings to 190,000 BTC. The company has been aggressively acquiring Bitcoin, with a recent purchase of 31,755 bitcoins since the end of the third quarter for $1.25 billion.
MicroStrategy Holds 190,000 BTC
As of February 5, 2024, MicroStrategy’s Bitcoin portfolio stands at 190,000 bitcoins, acquired at an average cost of $31,224 per bitcoin. This amounts to a total of $5.93 billion and positions MicroStrategy as the largest corporate holder of Bitcoin.
According to Bitcoin Treasuries, MicroStrategy owns 0.901% of the total BTC supply and has seen a profitable ratio of 1.39 in terms of the current value compared to its cost basis.
Decline in Revenue
In the fourth quarter of 2023, MicroStrategy reported a 6% year-over-year decline in total revenues, amounting to $124.5 million. However, the company turned a net income of $89.1 million, an improvement from a net loss in the previous year.
The reduced digital asset impairment losses contributed to this turnaround, with MicroStrategy’s carrying value of digital assets at $3.626 billion as of December 31, 2023.
MicroStrategy’s Confidence in Bitcoin
Despite volatile prices, MicroStrategy continues to invest in Bitcoin, showcasing institutional confidence in the cryptocurrency. At the time of writing, BTC remains above the $43,000 level.
Hot Take: MicroStrategy Expands Bitcoin Holdings and Leads Corporate Adoption
MicroStrategy’s recent acquisition of Bitcoin further solidifies its position as a leader in corporate adoption of the cryptocurrency. With a portfolio of 190,000 BTC and a profitable ratio, MicroStrategy’s aggressive investment strategy has paid off. Despite a decline in revenue, the company has turned a net income and continues to show confidence in Bitcoin amidst market volatility. As institutional interest in cryptocurrencies grows, MicroStrategy’s success serves as an example for other corporations considering Bitcoin as a long-term investment.
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