Bitcoin News

MicroStrategy acquires 11,931 Bitcoins, takes holding to 226,331 BTC

Michael Saylor’s MicroStrategy recently announced acquiring an additional 11,931 Bitcoins. The official press release stated that the transaction cost the firm $786 million.

With the acquisition, MicroStrategy has taken its Bitcoin holdings to 226,331. The amount of Bitcoins roughly reaches a value of $15 billion. Under Saylor’s leadership, the company held 214,400 BTCs at the end of April.

The latest transaction witnessed MicroStrategy buying Bitcoin at a market price of $66,000. Even then, the company has maintained an average price of $36,798. This brings its purchase price to a rough figure of $8.33 billion. 

The purchase followed MicroStrategy’s $800 million convertible note offering to institutional investors. MicroStrategy initially set the offering size at $500 million, raised it to $700 million, and ultimately raised it to $800 million.

In March 2024, MicroStrategy acquired 9,245 BTC of $623 million. The purchase was sponsored using debt issuance as well. MicroStrategy and Saylor’s bitcoin purchase history began in 2020.

It has been spearheading the trend of keeping Bitcoin as a reserve asset for corporate treasuries. Several other companies have adopted the same approach; however, none have reached the level of MicroStrategy.

The company is also trying to purchase BTC in amounts larger than the current market cap. As a result, the Saylor-led company has increased its share price tenfold in the past four years. Similarly, Semler shares have also gone up by 60% since MicroStrategy first started buying BTC. 

A week ago, Bernstein conducted a report on MicroStrategy that set the company’s share price target at $2,890. 

Erica Lee

Erica is a finance professional who has over a decade of experience in the finance sector as a management consultant. After years of reporting on forex, stock markets, and finance, she now contributes her strong financial skills with the CoinNewsSpan team. Since 2014, she has been deeply involved in the blockchain and cryptocurrency space. She believes that blockchain technology has tremendous potential to make our lives better.

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