MicroStrategy, led by Michael Saylor, has purchased an additional 18,300 Bitcoin for a value of 1.1 billion dollars. With this purchase, the company now holds 244,800 BTC, strengthening its position as the largest corporate holder of Bitcoin.
Let’s see all the details below.
MicroStrategy adds 18,300 Bitcoin to its portfolio: Michael Saylor’s goals
MicroStrategy, a company famous for its aggressive approach to buying Bitcoin, has recently announced the purchase of an additional 18,300 BTC for a total value of 1.1 billion dollars.
With this new purchase, the company founded and led by Michael Saylor has brought its total holdings to 244,800 Bitcoin.
This portfolio, at current market prices, is valued at around 14 billion dollars, consolidating MicroStrategy as one of the largest institutional holders of Bitcoin in the world.
The purchase was made at an average price of 60,408 dollars per Bitcoin, as stated by Saylor in a post on X (formerly known as Twitter).
This move underscores MicroStrategy’s ongoing commitment to pursuing a strategy centered on the accumulation of Bitcoin, which has defined the new corporate direction since 2020.
The cost basis for the total purchase of bitcoin by the company is approximately 9.45 billion dollars, with an average price of 38,585 dollars for each bitcoin purchased.
With the current market price of bitcoin near $58,000, the overall value of MicroStrategy’s holdings has reached an impressive figure of $14 billion.
This further strengthens the company’s position as a leader in holding bitcoin among all publicly traded companies globally.
Yields and performance
Michael Saylor also revealed the details about the performance of the bitcoin held by the company.
According to the executive chairman, MicroStrategy achieved a return of 4.4% on its bitcoin holdings during this quarter, and an impressive 17% since the beginning of the year.
The “BTC yield” is a metric developed internally by MicroStrategy to measure the percentage change in the ratio between the total number of bitcoins held by the company and the number of diluted shares outstanding.
This metric offers a more in-depth view of the performance of the investment in bitcoin compared to the market value, showing how the company’s acquisition strategies translate into benefits for the shareholders.
The increase in the price of bitcoin in recent months has clearly contributed to the improvement of these performances, making MicroStrategy one of the major beneficiaries of the recent growth of the criptovalute. market.
A long-term vision
As mentioned, MicroStrategy started buying bitcoin in 2020, when Michael Saylor decided to redirect the company’s strategy towards what he considers “digital gold”.
Since then, the company has consistently expanded its cryptocurrency portfolio, making several massive purchases during market downturns.
The philosophy of Saylor is based on the belief that Bitcoin represents a long-term store of value, comparable to gold, and that it is a fundamental tool for protecting capital against inflation and the devaluation of traditional currencies.
MicroStrategy has redefined its corporate purpose, transitioning from a traditional enterprise software company to a “bitcoin development company”.
This transformation has been closely followed by the markets and financial analysts, with many seeing MicroStrategy as a pioneer in the institutional adoption of cryptocurrencies.
The data from BitcoinTreasuries, a platform that monitors the bitcoin holdings of public companies, clearly shows that MicroStrategy is the largest holder of bitcoin among all publicly traded companies.
Market implications after Michael Saylor’s latest MicroStrategy purchase in Bitcoin
The increase in MicroStrategy’s holdings in Bitcoin is not just a corporate move, but also has broader implications for the cryptocurrency market.
The purchase of large quantities of Bitcoin by a publicly traded company further helps to legitimize the adoption of cryptocurrencies at the institutional level.
While other large companies have started to explore the opportunity to integrate bitcoin into their balance sheets, MicroStrategy remains one of the few to have adopted such a decisive and large-scale strategy.
However, this move also involves risks. The high volatility of the cryptocurrency market could severely test MicroStrategy’s investments in the event of a reversal in the price of bitcoin.
Despite this, Michael Saylor has repeatedly stated that he is confident in the resilience of bitcoin in the long term, remaining steadfast in his belief that the cryptocurrency will continue to grow and play a central role in the global financial system.