The publicly traded company with the largest Bitcoin holdings in the world - 'MicroStrategy' - has once again become the focus of the market. According to documents submitted to the U.S. SEC on Monday, the company bought an additional 15,400 Bitcoins at an average price of $95,976, totaling $1.5 billion.
The funds for this acquisition of Bitcoin by MicroStrategy primarily came from the sale of 3,728,507 shares of the company's stock sold during the same period, with the sale amount matching the amount spent on purchasing Bitcoin.
As of December 1, MicroStrategy still has approximately $11.3 billion worth of stock available for sale, which is part of the company's $21 billion stock issuance plan and $21 billion fixed income securities issuance plan. MicroStrategy's goal is to raise $42 billion over the next three years to support the company's ongoing expansion of its Bitcoin investment strategy.
So far, MicroStrategy's Bitcoin holdings have reached 402,100 coins, accounting for about 1.9% of the total Bitcoin supply (21 million coins), with a total value exceeding $38 billion based on current market value.
According to the company's co-founder and executive chairman Michael Saylor, the average cost of Bitcoin held by MicroStrategy is approximately $58,263 per coin, with a total cost of about $23.4 billion (including fees and other associated costs).
This marks the fourth consecutive week that MicroStrategy has announced a significant increase in its Bitcoin holdings. Just last Monday, the company purchased 55,500 Bitcoins for approximately $5.4 billion in cash, with an average price of $97,862 per coin; the week before that, MicroStrategy spent another $4.6 billion to acquire about 51,780 Bitcoins.
MicroStrategy has adopted a metric called 'Bitcoin Yield' to measure the changes in Bitcoin holdings relative to stock dilution. The company's Bitcoin yield has reached 63.3% year-to-date, indicating a successful significant increase in Bitcoin holdings while experiencing equity dilution, providing potential returns for shareholders.
Notably, Michael Saylor recently suggested to Microsoft CEO Satya Nadella and the board that Bitcoin should be included in Microsoft's financial reserve assets. He stated, 'Microsoft absolutely cannot miss the next wave of technology, and that wave is Bitcoin.'
"MicroStrategy strikes again! Spending $1.5 billion to buy 15,000 Bitcoins, with total holdings exceeding 400,000 coins" was first published in (Block Geeks).
