MicroStrategy Adds To Bitcoin Stash, Now Holds $4.6 Billion

MicroStrategy has purchased another 12,333 bitcoin, bringing its total holdings to 152,333 BTC — worth $4.6 billion at the current market prices.

An Extra 12,333 BTC

Enterprise software solution company MicroStrategy keeps adding to its Bitcoin bet.

A Wednesday filing with the U.S. Securities and Exchange Commission (SEC) indicates that the firm had purchased an additional 12,333 bitcoins for roughly $347 million at an average price of $28,136 per coin. The purchase was made in cash between April 29 and June 27.

The recent purchase brings MicroStrategy’s holdings to around 152,333 Bitcoin, with the firm’s average cost basis sitting at $29,668.

The BTC acquisition was partially funded with the issuance of new stock, as the company noted:

“On May 1, 2023, MicroStrategy entered into a Sales Agreement with Cowen and Company, LLC and Canaccord Genuity LLC, as sales agents, pursuant to which MicroStrategy may issue and sell shares of its class A common stock, par value $0.001 per share (“Shares”), having an aggregate offering price of up to $625.0 million from time to time through the Agents.”

MicroStrategy has issued and sold a total of 1,079,170 shares as of June 28 under the agreement for total net proceeds of $337 million.

MicroStrategy’s Michael Saylor Is Bitcoin’s Biggest Advocate

MicroStrategy is the world’s biggest corporate Bitcoin holder, and its now executive chairman Michael Saylor, who stepped down as CEO in August 2022, has become known for his ardent belief in the asset. The company started purchasing the preeminent crypto in August 2020; Saylor said at the time that the reason was a hedge against inflation.

Needless to say, MicroStrategy’s strategy on Bitcoin seems to be paying off despite the top crypto having slumped from its historic high of $69,044.17 set in November 2021. The publicly-traded company’s stock, which trades under the ticker symbol MSTR on the Nasdaq, is up over 160% since its first BTC purchase in 2020. 

Saylor recently revealed that MicroStrategy integrated Bitcoin Lightning into his corporate email address.

The Bitcoin-savvy firm is also working on an “enterprise Lightning solution” to help corporations move funds fast. The Lightning Network is a layer-2 payment protocol built atop Bitcoin’s blockchain that permits off-chain transactions, increasing payment throughput and reducing transaction fees.

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