Software intelligence powerhouse Microstrategy Inc. (Nasdaq: MSTR) has once again doubled down on its bullish bitcoin strategy, announcing yet another acquisition to continue its streak of aggressively buying the cryptocurrency.
According to its filing with the U.S. Securities and Exchange Commission (SEC) on Monday, Microstrategy “acquired approximately 55,500 bitcoins for approximately $5.4 billion in cash, at an average price of approximately $97,862 per bitcoin, inclusive of fees and expenses” during the period between Nov. 18 and Nov. 24. Michael Saylor, executive chairman of Microstrategy, shared on social media platform X Monday:
Microstrategy has acquired 55,500 BTC for ~$5.4 billion at ~$97,862 per bitcoin … As of 11/24/2024, we hodl 386,700 BTC acquired for ~$21.9 billion at ~$56,761 per bitcoin.
Highlighting performance metrics, Saylor revealed that Microstrategy achieved a BTC yield of 35.2% quarter-to-date and 59.3% year-to-date as of Nov. 24. The BTC Yield reflects the company’s strategy of leveraging equity and convertible debt to fund bitcoin acquisitions.
The SEC filing also details that the company completed a $3 billion private offering of 0% convertible senior notes due 2029, featuring a 55% conversion premium above its class A common stock’s volume-weighted average price. Additionally, from Nov. 18 to Nov. 24, Microstrategy raised $2.46 billion by selling 5.6 million shares under a $21 billion sales agreement. Proceeds from these transactions fueled the company’s aggressive bitcoin acquisition strategy, solidifying its position as the largest publicly traded corporate holder of bitcoin.
The software intelligence firm recently unveiled an ambitious plan to raise $42 billion over the next three years to expand its bitcoin holdings. This strategy, known as the “21/21” initiative, aims to accumulate a significant portion of the total BTC supply, reinforcing the company’s position as a leading corporate holder of the cryptocurrency. The funds will be raised through a combination of debt and equity offerings, including convertible bonds and stock sales.
Saylor has shared that investor demand drives the company’s aggressive BTC approach. “All of our investors tell me, they want me to buy more bitcoin. They want me to raise capital to buy bitcoin. And their number one concern was: ‘Are you going to stop issuing equity to buy bitcoin?’ So, we were actually addressing their concerns,” he said. The Microstrategy executive chairman has championed the idea of the U.S. adopting a strategic bitcoin reserve, aligning with U.S. Senator Cynthia Lummis’s bill and President-elect Donald Trump’s proposal. He highlighted the initiative’s potential to offset $16 trillion in national debt, describing it as a critical move for economic and technical leadership.
