MicroStrategy Strengthens Bitcoin Position With $4.6 Billion BTC Acquisition, Totaling 331,200 Coins in Treasury

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As a seasoned crypto investor with over two decades of experience in the financial markets, I find myself increasingly impressed by MicroStrategy’s bold and strategic moves. Their recent acquisition of 51,780 BTC, pushing their total holdings to an astounding 331,200 coins, is a testament to their conviction in Bitcoin’s future potential.

The Nasdaq-traded business intelligence company MicroStrategy has strengthened its status as the top corporate owner of Bitcoin following a significant $4.6 billion purchase of 51,780 Bitcoins, increasing its total holdings to an astounding 331,200 coins.

Based on BitcoinTreasuries’ records, MicroStrategy has purchased its Bitcoins at an average price of around $49,874 per BTC, investing a total of approximately $16.5 billion. With the recent surge in Bitcoin’s value beyond $90,000 per coin, the worth of MicroStrategy’s Bitcoin holdings now exceeds $30 billion.

As a crypto investor speaking about MicroStrategy’s recent disclosure, I’d say: Michael Saylor, the co-founder and Chairman of this innovative company, has shared that their Bitcoin (BTC) yield – a metric they use to assess their Bitcoin investment strategy effectiveness – came out to be an impressive 41.8%.

Saylor pointed out that it’s approximately equivalent to acquiring 246 Bitcoins daily without the usual costs, energy usage, or investments associated with Bitcoin mining. The firm has been funding its Bitcoin purchases via debt offerings.

The organization has disclosed intentions to gather approximately $1.75 billion through selling senior convertible notes without charging any interest. This money will be utilized primarily for purchasing more bitcoin, as well as for other corporate objectives.

The convertible notes offer provides a discount on the notes and, if not converted before maturity in 2029, they will be paid out at their full value. If all funds are invested in Bitcoin (BTC), this could potentially increase the total Bitcoin holdings by approximately 19,000 coins.

Goldman Sachs, a major player on Wall Street, has disclosed an increase in its investment in direct Bitcoin ETFs according to a recent SEC filing.

In a recent disclosure of its investment holdings, a prominent figure on Wall Street announced ownership of approximately $710 million in different spot Bitcoin ETFs. This includes 12.7 million shares in BlackRock’s iShares Bitcoin Trust (IBIT), which are valued at approximately $461 million.

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2024-11-20 02:48