MicroStrategy revealed that it has acquired 18,300 Bitcoin for $1.11 billion, increasing its overall holdings to 244,800 BTC purchased for a total of $9.45 billion.
The intelligence firm, spearheaded by Bitcoin advocate Michael Saylor, has been consistently accumulating Bitcoin as a core component of its business strategy since 2020. MicroStrategy’s latest billion-dollar acquisition was made at an average price of $60,408 per Bitcoin.
Saylor noted that the company has achieved a 17% Bitcoin yield year-to-date, leveraging BTC’s price increase while continuing to borrow fiat at low-interest rates to enhance its holdings.
At present valuations, MicroStrategy’s Bitcoin assets are worth over $15 billion, significantly benefiting its shareholders. The company’s stock price has risen in correlation with its Bitcoin investments.
Despite challenging market conditions in 2024, MicroStrategy remains committed to growing its Bitcoin position for the long haul. The company perceives Bitcoin as a superior treasury asset compared to cash that is vulnerable to inflationary declines.
MicroStrategy is undertaking the largest speculative offensive against fiat currency in history by acquiring the most scarce asset for its treasury. Other public companies are starting to follow MicroStrategy’s example by implementing Bitcoin treasury strategies and increasing their Bitcoin exposure on their balance sheets. Nonetheless, MicroStrategy retains its status as the largest corporate Bitcoin holder globally.
By leveraging underused capital to take advantage of Bitcoin’s potential, MicroStrategy has transformed into an emerging Bitcoin development firm that is driving worldwide Bitcoin adoption.
