MicroStrategy Makes Another Large Bitcoin Purchase, Buying 21,550 BTC for $2.1B

What to know:

  • MicroStrategy bought 21,550 more bitcoin for $2.1 billion last week, or an average price of $98,783 each, a Monday regulatory filing showed.
  • The company funded the purchases by selling $2.13 billion worth of shares using its ATM facility.
  • The Michael Saylor-led firm now holds more than 2% of the total bitcoin that will ever exist.

As an analyst with extensive experience in the financial markets and a keen interest in digital currencies, I find MicroStrategy’s continued investment in Bitcoin to be nothing short of impressive. This company, led by Michael Saylor, is making bold moves that are reshaping the landscape of corporate adoption of cryptocurrencies.

Last week, the significant Bitcoin development company, MicroStrategy (MSTR), expanded its substantial Bitcoin holdings by acquiring an additional 21,550 units.

Over the week leading up to December 8, purchases were finalized and each cost an average of approximately $98,783, accumulating a total of around $2.1 billion. This information comes from a recent regulatory filing. To finance this acquisition, they sold roughly $2.13 billion worth of shares during the same period. Currently, the company has about $9.19 billion left in its existing $21 billion at-the-market (ATM) share sales facility.

The most recent purchasing activity has increased MicroStrategy’s Bitcoin holdings to approximately 423,650 coins, which equates to around $42 billion at current market prices. Under the leadership of Executive Chairman Michael Saylor, MicroStrategy now owns over 2% of the total 21 million Bitcoins that will ever be in circulation.

Transactions were made, possibly influencing the rise of Bitcoin’s price movement as it surpassed $100,000 for the first time ever last week. This significant surge was driven by increased U.S. investor demand pushing up market prices. Additionally, U.S.-based spot Bitcoin ETFs experienced substantial inflows, accumulating approximately $2.73 billion in new investments last week, according to data from Farside Investors.

In the pre-market hours, MicroStrategy stocks dropped by about 1%, trading at approximately $395, as Bitcoin prices moderately decreased to around $99,000.

Meanwhile, in the realm of corporate Bitcoin adoption, Riot Platforms (RIOT) declared on Monday their plans for a $500 million convertible bond issue, mainly intended for purchasing Bitcoin.

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2024-12-09 17:30