The recent continuous rise in Bitcoin prices, along with Trump's series of commitments to the crypto market before running for president, has made Bitcoin very popular! Although people who do not understand Bitcoin still have doubts about it, they cannot stop the onset of the Bitcoin era. The doubters always think they are very smart, claiming Bitcoin is used to harvest the world, always talking about American schemes! The fact proves that those who missed out on Bitcoin simply lack sufficient understanding. We say money is smart; in addition to the world's largest asset management company BlackRock, Fidelity, and a host of major Wall Street institutions applied for Bitcoin ETFs at the beginning of the year, Hong Kong also approved an ETF in April. The most eye-catching is the listed company MicroStrategy, an American IT company. As of now, according to its holding addresses, it owns 76,112 Bitcoins, worth approximately 7.31 billion dollars. Today, due to Bitcoin's daily increase, its profit is approximately 300 million dollars! Money is not earned; it comes with the wind!
MicroStrategy is a well-known business intelligence software company founded in 1989, but its main business is clearly not the focus. The focus is that it has continuously used cash to purchase Bitcoin as its main reserve asset since August 2020. In the earnings conference call in mid-2020, MicroStrategy first disclosed its Bitcoin investment plan, stating that it would invest 250 million dollars in 'one or more alternative assets' over the next 12 months, which may include cryptocurrencies like Bitcoin. At that time, the company's market value was approximately 1.1 billion dollars, and today it is close to 100 billion dollars.
In recent years, MicroStrategy has continuously raised funds to purchase Bitcoin through the issuance of bonds, which not only increases the attractiveness of its stock but also, as a listed company, it does not charge management fees compared to Bitcoin ETFs.
MicroStrategy Bitcoin Investment History:
August 2020: Initial investment of approximately 250 million dollars to acquire 21,454 BTC, at an average price of 11,654 dollars.
September 2020: An additional investment of 175 million dollars to purchase 16,796 BTC, at an average price of 10,422 dollars.
December 2020: Increased investment of approximately 650 million dollars through the issuance of convertible bonds, purchasing 29,646 BTC, at an average price of 22,000 dollars.
June 2021: Acquired 13,005 BTC for 489 million dollars, at an average price of 37,617 dollars.
From November to December 2022: Purchased 2,395 BTC at an average price of 17,871 dollars and sold 704 BTC in December at an average price of 17,800 dollars.
From March to July 2023: Acquired 6,455 BTC from March 27 to April 5 at an average price of 28,016 dollars; purchased 12,333 BTC from April to June at an average price of 28,136 dollars; increased holdings by 467 BTC in July at an average price of 30,835 dollars.
February 2024: Acquired 3,000 BTC from the 15th to the 25th at an average price of 51,813 dollars.
March 2024: Purchased 12,000 BTC for 821 million dollars at an average price of 68,400 dollars.
On November 16, 2024, MSTR announced it acquired 51,780 Bitcoins for approximately 4.6 billion dollars.
An increasing number of publicly listed companies, asset management companies, sovereign funds, and even governments around the world are beginning to hoard BTC as a strategic reserve, just like MicroStrategy, which undoubtedly increases the demand for BTC and leads to a record low supply in the trading market.
Of course, besides MicroStrategy, there is also Tesla, among others. Recently, Microsoft is considering Bitcoin as a financial reserve.
In addition to companies in the United States, companies in China and Hong Kong have also long been hoarding Bitcoin!
Boyaa Interactive announced that as of November 12, the company held a total of 2,641 Bitcoins (BTC), with a total holding cost of approximately 143 million dollars, averaging about 54,000 dollars per Bitcoin; it also held 15,445 Ether (Ethereum, ETH), with a total holding cost of approximately 42,578,100 dollars, averaging about 2,756 dollars per Ethereum.
The day after the announcement, the price of Bitcoin peaked at nearly 90,000 dollars on November 13, and the price of Ethereum also surged over 3,400 dollars at one point. Based on this calculation, Boyaa Interactive's unrealized gains on its Bitcoin holdings were about 94 million dollars (approximately 679 million RMB), while its Ethereum holdings had unrealized gains exceeding 7 million dollars. The total value of the two types of cryptocurrencies was approximately 285 million dollars, with total unrealized gains exceeding 100 million dollars (approximately 720 million RMB).
Public information shows that Boyaa Interactive is one of the top developers and operators in China's online gaming industry. The company was established in 2004 and listed on the Hong Kong Stock Exchange in November 2013. According to its official website, the company has developed several classic online card games, such as Boyaa Texas Hold'em, Boyaa Landlord, Boyaa Chinese Chess, and Boyaa Sichuan Mahjong, through independent research and development and refined operation across multiple platforms.
Boyaa Interactive stated that its revenue increased in the first half of this year, mainly due to the appreciation of the digital assets held by the group.
On November 11, Boyaa Interactive announced that it expects a year-on-year revenue growth of about 5% to 10% in the first three quarters and stated that cryptocurrency has had a positive impact on its performance.
Along with the performance, the stock price has also 'flown together'; Boyaa Interactive has transformed from a gaming stock into a cryptocurrency concept stock. Wind data shows that as of November 14, the company's stock price has increased nearly 400% this year, with the latest price being 3.03 Hong Kong dollars per share, and a total market value of approximately 2.2 billion Hong Kong dollars.
In fact, Boyaa Interactive has been quite aggressive in its investments in cryptocurrency. As early as August 2023, the company announced that it would use cash to purchase Bitcoin and Ethereum, with a budget of 5 million dollars. Since then, it has repeatedly announced increases in its budget for purchasing cryptocurrency.
Boyaa Interactive has stated that purchasing and holding cryptocurrencies is an important measure for the group's development and layout of Web3 business, and is also an important part of the group's asset allocation strategy.
In the Hong Kong stock market, in addition to Boyaa Interactive, several other listed companies such as Meitu, Landong Interactive, and Guofu Innovation also hold Bitcoin and other digital assets. Among them, Meitu invested hundreds of millions in Bitcoin as early as 2021, becoming the 'first to take the plunge' among Hong Kong-listed companies.
Thinking back, listed companies used to speculate in stocks, and now, listed companies are trading in Bitcoin themselves! And you, where are you?
(For opinion sharing only, not investment advice)
