Microstrategy, a software intelligence company, now owns 423,650 bitcoins, valued at $25.6 billion. The company recently purchased 21,550 additional bitcoins, emphasizing its strong belief in bitcoin’s potential to transform how assets are managed.
Details of the Recent Bitcoin Purchase
Between Dec. 2 and Dec. 8, Microstrategy acquired 21,550 bitcoins for $2.1 billion, averaging $98,783 per bitcoin. This purchase was funded by selling $2.13 billion worth of company stock, in line with their plan to raise funds through share sales.
Michael Saylor, Microstrategy’s co-founder and executive chairman, announced this on social media, that the company now holds 423,650 bitcoins at an average price of $60,324 each. He also highlighted their returns from bitcoin investments, which grew by 43.2% this quarter and 68.7% this year.
The post read, “Microstrategy has acquired 21,550 BTC for ~$2.1 billion at ~$98,783 per bitcoin and has achieved BTC Yield of 43.2% QTD and 68.7% YTD. As of 12/8/2024, we hodl 423,650 BTC acquired for ~$25.6 billion at ~$60,324 per bitcoin.”
The company’s filing with the U.S. SEC confirmed these figures and outlined Microstrategy’s approach of using money raised from stock sales to increase its bitcoin holdings. The company views bitcoin as a core asset to create long-term shareholder value.
Now, Microstrategy uses a performance metric called “BTC Yield” to track the relationship between bitcoin holdings and company shares. While the metric has limitations, the company believes it demonstrates how their bitcoin strategy aligns with shareholder interests.
The company introduced the “21/21 Plan,” aiming to raise $42 billion over three years. This involves $21 billion from stock sales and $21 billion from bonds. The funds will go toward expanding their bitcoin portfolio, with the goal of boosting shareholder value and strengthening their position as a leading bitcoin-focused
Saylor predicts bitcoin could reach $13 million per coin by 2045 due to increasing adoption and reduced price volatility. He suggests a worst-case price of $3 million and a best-case price of $49 million. He also urges companies like Microsoft and Berkshire Hathaway to invest in bitcoin, arguing it could significantly enhance their market value.
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