Michael Saylor Teases Bitcoin Buy as MicroStrategy Eyes Massive Expansion

In simpler terms, “Saylor, in a cryptic message to his followers on X, seemed to suggest that there might be an issue with SaylorTracker.com and possibly hinted towards another potential Bitcoin purchase on Monday.

Previously, on December 29th, Saylor shared a similar graph. The very next day, MicroStrategy announced the acquisition of 2,138 Bitcoins at an average price of approximately $97,837 per coin. This move is consistent with their strategic goal to amass $42 billion in Bitcoin by raising $21 billion through equity and another $21 billion via fixed-income securities.

MicroStrategy’s 21/21 Plan and Nasdaq Milestone

MicroStrategy’s dedication to Bitcoin isn’t just transforming its corporate treasury; it’s also making an impact on the wider market. On December 23, 2024, the company became a part of the prestigious Nasdaq 100 index, which follows the 100 largest companies by market capitalization on the Nasdaq exchange. This membership offers indirect exposure to Bitcoin for traditional investors who own exchange-traded funds (ETFs) that are linked to the Nasdaq 100.

After being added to the index, MicroStrategy called for a special meeting of shareholders to discuss and gain approval for substantial increases in its share authorization. A December 23rd filing with the U.S. Securities and Exchange Commission (SEC) disclosed the company’s plan to boost its Class A common stock from 330 million shares up to an astounding 10.3 billion shares. Moreover, it also requested an increase in the authorized preferred stock from 5 million shares to more than a billion.

New Fundraising Initiatives

On January 4th, MicroStrategy disclosed intentions to procure $2 billion through a perpetual preferred stock sale. This new funding approach, different from their primary 21/21 plan, is anticipated to offer an additional layer of financial assurance. If the company were to file for bankruptcy, holders of perpetual preferred shares would be prioritized over common shareholders. In the event of corporate liquidation, these shares would also receive preferential distribution.

Though the continuous stock offering is distinct from its Bitcoin-related approach, it underscores MicroStrategy’s persistent drive to enhance its financial standing. This offering is anticipated to debut in the first quarter of 2024, subject to shareholder consent.

Bitcoin Adoption Push Continues

Michael Saylor’s steadfast dedication to Bitcoin is guiding MicroStrategy into uncharted waters. By employing innovative financing methods and adhering to its 21/21 plan with tenacity, the company is cementing its position as a trailblazer in corporate Bitcoin integration. To top it off, an image of Michael Saylor with Eric Trump at Mar-a-Lago certainly fuels optimism for Bitcoin, the Bitcoin Strategic Reserve, and the projected Bitcoin price in 2025 – if this doesn’t excite you about Bitcoin, we can’t imagine what would!

 

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2025-01-06 13:33