YEREVAN (CoinChapter.com) — MicroStrategy purchased $1.5 billion worth of bitcoin last week, the company announced Monday. This acquisition involved 15,400 BTC at an average price of $95,976 per bitcoin.
The latest purchase brings MicroStrategy’s total bitcoin holdings to 402,100 BTC, representing approximately 2% of the 21 million bitcoins that will ever exist. According to BitcoinTreasuries.net, this positions MicroStrategy as the second-largest public bitcoin holder, behind BlackRock’s iShares Bitcoin Trust (IBIT).
Bitcoin Holdings of Public Companies․ Source: BitcoinTreasuries.net
The company’s stock has climbed 500% year-to-date, reflecting investor confidence in its aggressive bitcoin acquisition strategy. However, MicroStrategy shares dropped nearly 1% in recent trading, while bitcoin itself traded at $96,000, down 1.4% on Monday.
Michael Saylor Advocates for Bitcoin Investment
Michael Saylor, MicroStrategy’s chairman, hinted at the acquisition in a post on X over the weekend. Since 2020, Saylor has supported bitcoin as a reserve asset for publicly-traded companies.
Michael Saylor’s Bitcoin Tweet. Source: @saylor
His advocacy for bitcoin investment aligns with a trend in 2024, where more firms are exploring cryptocurrency as a hedge against economic challenges. Despite this, large-cap tech companies have been slower to adopt. Tesla (TSLA), for instance, retains roughly $1 billion in bitcoin but has sold most of its initial holdings.
Saylor has remained steadfast in promoting bitcoin as a corporate asset, emphasizing its potential to protect shareholder value and strengthen balance sheets.
Saylor’s Pitch to Microsoft Board
On Dec. 1, Saylor revealed that he presented to Microsoft’s board, encouraging the company to consider bitcoin investment. He argued that allocating resources to bitcoin instead of share buybacks or dividends could reduce shareholder risk and increase enterprise value.
This push comes after a proposal by the National Center for Public Policy Research, which recommended an evaluation of bitcoin as an investment option. However, Microsoft’s board previously advised shareholders to reject the proposal.
Michael Saylor on MicroStrategy’s Bitcoin Hoard. Source: @saylor
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