Thomas Daniels
Over the past week, MicroStrategy has increased its holdings of Bitcoin by $561 million, continuing its aggressive acquisition strategy. For the sixth week in a row, the corporation has made purchases, solidifying its position as the biggest corporate Bitcoin holder. MicroStrategy’s executive chairman, Michael Saylor, revealed that the software company from Virginia had bought 5,262 Bitcoins at an average price of $106,662 each. Following this most recent acquisition, MicroStrategy now owns 444,262 Bitcoin, which is worth almost $45 billion.
Despite a recent decline in cryptocurrency markets, the company’s initial $27.7 billion Bitcoin investment has generated an estimated $15 billion in unrealized profits. At the time of writing, Bitcoin’s price dropped below $95,000 due to hawkish signals from the Federal Reserve, which caused a market-wide correction. Economist Peter Schiff was among the critics who questioned Saylor’s approach, pointing out that the recent purchase was much smaller than in prior weeks. Schiff maintained that it would be in the best interests of shareholders to concentrate on purchasing during notable price declines.
Along with the Bitcoin acquisition, MicroStrategy disclosed in a Form 8-K filing to the U.S. Securities and Exchange Commission that it sold about 1.32 million shares of MSTR convertible notes to raise over $7 billion. The business has set aside these monies for potential Bitcoin purchases in the future, demonstrating its ongoing dedication to its long-term cryptocurrency plan.
Interestingly, MicroStrategy’s most recent action came at the same time that Metaplanet, also known as “Japan’s MicroStrategy,” made a sizable Bitcoin acquisition. The Tokyo-based business made its biggest buy to yet, purchasing $60.6 million worth of Bitcoin.
