MicroStrategy buys 51,780 BTC for $4.6B, boosting its total holdings to 331,200 BTC, worth $30B at current prices.
Economist Peter Schiff critiques MicroStrategy's $6.63B Bitcoin spree, predicting their $42B plan may end early.
MicroStrategy's $4.6B Bitcoin buy was funded by selling 13.6M shares, aligning with its bold 21/21 strategy.
Leading business intelligence firm MicroStrategy has increased its Bitcoin holdings. According to a recent regulatory filing, the corporation paid around $4.6 billion to buy 51,780 Bitcoin. This boosts the total Bitcoin stash to 331,200 BTC. The average price per Bitcoin was $88,627.
https://twitter.com/BTC_Archive/status/1858527737276703109
This investment is consistent with it's strategy to hold Bitcoin as a core reserve asset. The company has committed to its policy of purchasing Bitcoin to boost its corporate treasury. Its latest purchase demonstrates that it believes in the cryptocurrency's long-term potential.
21/21 Plan Funds the Acquisition
MicroStrategy financed this purchase through its ongoing 21/21 plan. The plan involves $42 billion in equity and debt sales over the next three years. Part of the strategy saw the business sell 13.6 million shares between November 11 and November 17, raising $4.6 billion.
MicroStrategy has spent a total of $16.5 billion since purchasing the first bitcoin in August 2020. The average acquisition cost for its Bitcoin holdings is $49,874 per BTC. The company's Bitcoin reserve strategy has inspired other firms, including Marathon Digital Holdings and Semler Scientific.
Peter Schiff Reacts to MicroStrategy's Strategy
Renowned economist Peter Schiff shared his thoughts on MicroStrategy’s rapid Bitcoin accumulation. He stated that the company has already spent $6.63 billion of its $42 billion goal within weeks.
https://twitter.com/PeterSchiff/status/1858602445783658920
Schiff stated on X that at this rate, the company might finish the strategy in under four months. He humorously added that Michael Saylor, the company's Executive Chairman, might need to devise a larger strategy soon.
MicroStrategy's Role as a Leading Bitcoin Holder
With this latest purchase, MicroStrategy solidifies its position as the largest corporate Bitcoin holder. Its present holdings are worth more than $30 billion at present prices. This ambitious strategy demonstrates the firm's belief in the digital currency.
Bitcoin's continuous price climb, which recently exceeded $90,000, validates MicroStrategy's investment strategy. The company remains a key player in institutional Bitcoin adoption.
The post MicroStrategy’s Bitcoin Strategy Draws Criticism from Peter Schiff Amid $4.6 Billion Purchase appeared first on Crypto News Land.
