MicroStrategy raises $3B, adding 51,780 BTC to reach a total of 331,200 Bitcoins.
Bitcoin’s ATH of about $99K boosts MicroStrategy stock by 21% in five days.
Metaplanet buys 124 BTC, raising holdings to 1.142M, with stocks rising 14%.
MicroStrategy is making headlines as it significantly expands its Bitcoin holdings during the ongoing market rally. The company has adopted bold strategies to strengthen its financial positions, leveraging Bitcoin as a key asset. The company now holds the largest institutional Bitcoin portfolio globally.
MicroStrategy Raises $3 Billion for Bitcoin Expansion
MicroStrategy Inc. has raised $3 billion through a private offering of convertible senior notes due in 2029. Initially set to seek $2.6 billion, product offering went a notch higher, attaining $3 billion. The cash will be used to buy more Bitcoins, with 51,780 BTC already purchased this week at an estimated worth of $4.6 billion. This takes the total Bitcoin holding for the company to 331,200, placing it at the top of institutional investors in the bitcoin market.
Bitcoin’s recent rally to a new high of about $99,000 supports MicroStrategy’s approach. The company’s stock jumped twenty-one percent in five days to end at $408 on November 22.
MicroStrategy’s bold moves continue to inspire other firms. For instance, MARA Holdings just completed a $1 billion convertible debt that it will use to finance its Bitcoin mining activities. This aggressive strategy highlights the increasing confidence among corporations in Bitcoin’s long-term potential.
Metaplanet Makes Bold Bitcoin Moves
Japanese tech firm Metaplanet followed suit by acquiring 124,117 BTC, valued at 14,099,600¥ per Bitcoin. This acquisition raised the firm’s total Bitcoin holdings to 1.142 million BTC, purchased at an average price of 9,955,874¥ per Bitcoin. The strategic acquisition caused Metaplanet’s stock price to rise by 14%.
The firm reported significant Bitcoin yield growth, with returns increasing 186.9% from October 1 to November 19. To fund its Bitcoin expansion, Metaplanet issued ¥1.75 billion in bonds with a 0.36% annual interest rate. The bonds will mature in November 2025. This strategy positions Metaplanet as one of Asia’s largest corporate Bitcoin holders.
Market-Wide Impact
The aggressive Bitcoin accumulation by MicroStrategy and Metaplanet highlights growing institutional interest in Bitcoin. MicroStrategy founder Michael Saylor’s strategy has spurred confidence in Bitcoin as a hedge against inflation and economic crises. These developments align with Bitcoin’s rising market cap, driven by increasing adoption across corporations and nation-states. As Bitcoin approaches $100,000, institutional interest remains a key driver, influencing both corporate strategies and market dynamics.
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