MicroStrategy Bought More Bitcoin This Week

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As a seasoned investor with over two decades of experience under my belt, I find Michael Saylor and MicroStrategy’s Bitcoin strategy nothing short of inspiring. In a world where fear often dictates our actions, Saylor stands out as a beacon of courage and foresight.

Michael Saylor’s company MicroStrategy (MSTR), currently leading the corporate sector in Bitcoin ownership, has taken its Bitcoin investment to a new level by acquiring 27,200 more Bitcoins for approximately $2 billion. Located in Tysons Corner, Virginia, this firm now boasts a substantial Bitcoin reserve of about 279,420 coins, worth close to $23 billion as Bitcoin surpasses $82,000 and sets a new record high.

Indeed, while many of us hesitated to purchase Bitcoin when it was priced at $74K, fearing a non-arriving dip, Saylor chose to keep buying regardless of the price. There’s a valuable lesson here, my friends.

MicroStrategy’s significant investment in Bitcoin, totaling a whopping $11.9 billion, has unexpectedly led to a massive $11 billion gain for the company. This quarter, they’ve reported a yield of 7.4% from their Bitcoin holdings, and a remarkable 26% return since the beginning of the year. The recent acquisition, made at an average price of about $74,463 per coin, has already generated over $200 million in profit as the value of Bitcoin skyrocketed by almost $8,000 per coin.

Their playbook is simple but effective: issue shares, use the proceeds to buy Bitcoin, and let the dual effect of a rising BTC price and an inflated MSTR stock value work its magic. This symbiotic strategy is paying off—MSTR shares have jumped over 9% in pre-market trading, sitting at $295 as of this writing.

The business has a Bitcoin holding of approximately 279,420 coins, which were bought for an average price of around $42,292 each. This investment has yielded a return greater than double the initial amount.

The SaylorTracker site focuses on tracking and evaluating the Bitcoin investments made by MicroStrategy, led by its Executive Chairman, Michael Saylor.

The system collects information from sources like SEC Form 8-K submissions and Saylor’s Twitter posts to offer a summary of the company’s approach towards Bitcoin investments.

Key Metrics Displayed:

  • Total Value in USD: This represents the current market value of MicroStrategy’s Bitcoin holdings. For instance, as of the latest update, the holdings are valued at approximately $20.48 billion.
  • Total Bitcoin Holdings (₿): The cumulative amount of Bitcoin owned by MicroStrategy, currently standing at 252,220 BTC.
  • Current Bitcoin Price: The real-time market price of Bitcoin, noted as $81,037.60.
  • Dollar-Cost Average (DCA): The average purchase price per Bitcoin across all acquisitions, calculated to be $39,464.75.
  • All-Time Performance: The overall percentage gain or loss since the inception of the Bitcoin investment strategy, showing a positive return of 105.8%, equating to a profit of $10.53 billion.

New 21-21 Plan Targets $42 Billion for Bitcoin Acquisition

Over the past few days, MicroStrategy has unveiled an audacious 21-21 strategic initiative with a goal of procuring $42 billion in funding by 2027. The strategy is twofold: they aim to raise $21 billion via equity and another $21 billion from fixed income investments. This capital influx will be primarily used for augmenting their Bitcoin holdings. By spearheading the largest-ever ATM equity program, MicroStrategy intends to establish a substantial Bitcoin reserve.

The roadmap aims for a $10 billion goal by 2025, with half coming from equity investments and the other half from fixed income. This figure increases to $14 billion in 2026 and reaches $18 billion in 2027. A phased approach enables the company to manage interest costs efficiently, adjusting between equity and debt financing as required.

Bitcoin hit almost $85,000 this morning.

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2024-11-11 20:58