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MicroStrategy adds 2,138 Bitcoin worth $209M to holdings

MicroStrategy adds 2,138 Bitcoin worth $209M to holdings

GrafaGrafa2024/12/31 06:40
By:Mahathir Bayena

MicroStrategy has announced the acquisition of 2,138 Bitcoin (CRYPTO:BTC) for $209 million between December 23 and 29.

The business intelligence firm used $209 million in cash to make the purchase at an average price of approximately $97,837 per BTC, according to a company filing.

The acquisition was funded through the sale of 592,987 company shares during the same week.

This purchase increases MicroStrategy’s total Bitcoin holdings to 446,400 BTC, valued at roughly $41.5 billion based on current market prices.

The company also reported a year-to-date Bitcoin yield of 74.1% as of December 30, with a yield of 47.8% for the fourth quarter alone.

Michael Saylor, MicroStrategy's co-founder and executive chairman, hinted at the purchase on December 29, referencing activity on the Saylor Tracker, a tool monitoring the firm’s Bitcoin transactions.

MicroStrategy has consistently purchased Bitcoin for eight consecutive weeks, adding 194,180 BTC since October 31.

However, the latest acquisition reflects a decline in the volume of purchases compared to November when the company bought over 100,000 BTC.

In a filing dated December 23 with the U.S. Securities and Exchange Commission, MicroStrategy disclosed its intention to increase the authorised number of Class A common and preferred shares.

The firm aims to raise the authorised Class A common stock from 330 million to 10.33 billion shares and increase preferred stock from 5 million to over 1 billion shares.

This move would provide greater flexibility for issuing additional shares to fund future Bitcoin acquisitions.

At the time of reporting, the Bitcoin price was $92,379.56.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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