MicroStrategy Now Holds Over 1% of Bitcoin's Total Supply

MicroStrategy, led by Michael Saylor, has expanded its Bitcoin portfolio by acquiring an additional 9,245 Bitcoins for $623 million this week. This new investment increases their total Bitcoin ownership to 214,246, with an average acquisition cost of $35,160 per Bitcoin, marking a whopping $7.5 billion in total investment. This significant stake now accounts for over 1% of the total Bitcoin market, showcasing an impressive unrealized profit of about $6 billion.

The recent acquisition was financed through a blend of $592.3 million from the company’s latest convertible debt offering and $30.7 million from its cash reserves. Despite this bold move, MicroStrategy observed a 13% fall in its stock value following the announcement and the completion of a $603.7 million convertible debt offering, amidst a concurrent dip in Bitcoin's value. This follows a prior convertible debt offering of $800 million just a week earlier.

MicroStrategy has disclosed an innovative repayment plan for its borrowed funds, aiming to settle by September 15, 2030. The plan allows investors to convert borrowed cash into MicroStrategy stock under specific conditions. Initially, lenders receive 0.43 of a MicroStrategy share for every $1,000 lent, potentially opting for shares valued close to $2,327.21 instead of cash reimbursement, based on certain criteria.

#MicroStrategу #BTC #HODLingToTheMoon #Bitcoin(BTC) #HotTrends