MICROSTRATEGY ACQUIRES ADDITIONAL 5,050 BITCOINS, SURPASSING BLACKROCK’S BTC HOLDINGS
MicroStrategy, the business intelligence company led by Michael Saylor, has announced its acquisition of an additional 5,050 bitcoins. This brings the company’s total bitcoin holdings to approximately 112,113 BTC. With this latest purchase, MicroStrategy now holds more bitcoins than the largest BlackRock spot bitcoin exchange-traded fund.
The Details
- MicroStrategy made the latest acquisition between February 26 and March 10, 2024.
- The average price per bitcoin was approximately $68,477, including fees and expenses.
- The purchase was funded with $781.1 million from a recent private offering of convertible senior notes and $40.6 million of excess cash.
- MicroStrategy’s aggregate purchase price for all bitcoins is around $6.91 billion.
- The current market value of MicroStrategy’s bitcoin holdings is above $14.7 billion.
- The company’s average purchase price per bitcoin, inclusive of fees and expenses, is approximately $33,706.
Implications
This latest acquisition by MicroStrategy demonstrates the company’s continued confidence in Bitcoin as a long-term investment. By increasing their holdings, MicroStrategy aims to benefit from the potential growth and value appreciation of Bitcoin in the future. The move also solidifies MicroStrategy’s position as one of the largest institutional holders of Bitcoin globally.
Comparison to BlackRock
With a total of 112,113 BTC in its treasury reserves, MicroStrategy now surpasses the holdings of BlackRock’s spot bitcoin exchange-traded fund which stands at 197,943 BTC. This highlights MicroStrategy’s significant investment in Bitcoin and its commitment to expanding its cryptocurrency portfolio.
Bitcoin’s Price Surge
The price of Bitcoin has experienced a significant surge this year, reaching an all-time high of around $72,000. This surge has contributed to the increase in MicroStrategy’s market value and the appreciation of their bitcoin holdings. As Bitcoin continues to gain mainstream acceptance and adoption, its price is expected to remain volatile but potentially lucrative for long-term investors like MicroStrategy.
HOT TAKE: MICROSTRATEGY’S BOLD MOVE IN BITCOIN ACQUISITION
MicroStrategy’s latest acquisition of 5,050 bitcoins showcases the company’s confidence in Bitcoin as a valuable asset. By increasing their holdings, MicroStrategy solidifies its position as one of the largest institutional investors in Bitcoin globally. This move also reflects the growing acceptance and adoption of cryptocurrencies by traditional finance players.
With the current surge in Bitcoin’s price, MicroStrategy stands to benefit from the potential growth and value appreciation of their bitcoin holdings. As more companies and institutions recognize the long-term potential of Bitcoin, we can expect to see further investments and acquisitions in the cryptocurrency space.
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