MicroStrategy Doubles Down on Bitcoin, Upsizes $2.6B Convertible Note To Fuel Its Crypto Empire as BTC Soars Past $96K
MicroStrategy has boosted the size of its convertible note offering to $2.6 billion, significantly higher than the initial $1.75 billion announced just days ago. This move will allow the company to continue its Bitcoin-buying spree, with the funds being directed toward increasing its Bitcoin holdings. The offering, which will close on Nov. 21, is aimed at institutional investors and comes with zero interest and a 2029 maturity date.
Bitcoin’s price surge is playing a key role in this expansion. As of writing, the cryptocurrency has hit a new high of $96,923, marking a 37% jump in just one month. The momentum is expected to carry Bitcoin toward the $100,000 threshold by the end of November, with some analysts predicting a 14.7% price surge that could push the coin past that mark. MicroStrategy, under CEO Michael Saylor, has capitalized on this trend, growing its holdings to over 331,000 BTC, currently valued at around $31 billion, or roughly 1.58% of Bitcoin's total supply.
The company’s stock has seen a massive uptick, soaring by more than 870% in the past year, fueled by Bitcoin’s upward movement. MicroStrategy’s continued investment in Bitcoin has cemented its position as the largest corporate holder of the cryptocurrency.
The offering will allow investors to purchase zero-interest convertible notes that mature in 2029. These notes will give holders the right to convert them into either cash, MicroStrategy stock, or a combination of both. The company remains committed to its long-term Bitcoin strategy and aims to expand its crypto assets to further bolster its balance sheet.
This latest capital raise comes as interest in Bitcoin and other digital assets continues to grow. Institutional investors are keen on Bitcoin as a store of value, especially in light of its recent price gains. Along with this, Bitcoin ETFs are seeing significant inflows, further fueling positive sentiment in the crypto space.
With the success of the offering, MicroStrategy is poised to continue its aggressive Bitcoin acquisition strategy, keeping the company at the forefront of the crypto movement while positioning it for potential long-term gains.
