Thomas Daniels
Michael Saylor, co-founder and executive chairman of Strategy (formerly MicroStrategy), has signaled an impending Bitcoin acquisition following the company’s Q1 2025 earnings call. This move would mark the fourth consecutive week of Bitcoin purchases by the firm, underscoring its aggressive accumulation strategy.
On April 28, Strategy acquired 15,355 BTC for approximately $1.42 billion, bringing its total holdings to 553,555 BTC. This acquisition was funded through common and preferred stock offerings. At current market prices, the company’s Bitcoin holdings are valued at over $52 billion, with an average purchase price of $68,459 per BTC.
Despite reporting a Q1 net loss of $4.22 billion, primarily due to a $5.9 billion unrealized loss on its digital assets under new fair value accounting rules, Strategy remains committed to its Bitcoin-centric approach. The company reported revenues of $111.1 million for the quarter, a 3.6% decrease year-over-year, missing analyst expectations by 5%.
In line with its aggressive Bitcoin strategy, Strategy announced plans to raise an additional $21 billion through an at-the-market equity offering to finance further Bitcoin acquisitions. This initiative is part of the company’s broader “42/42 Plan,” aiming to secure $84 billion over the next two years, split equally between equity and fixed-income instruments, to bolster its Bitcoin holdings.
Analysts have noted the significant impact of Strategy’s Bitcoin purchases on the cryptocurrency market. Adam Livingston, author of “The Bitcoin Age and The Great Harvest,” highlighted that Strategy’s average daily Bitcoin accumulation of approximately 2,087 BTC far exceeds the daily mined supply of around 450 BTC, effectively creating a synthetic halving effect.
Asset manager Richard Byworth has suggested that Strategy could further enhance its Bitcoin reserves by acquiring companies with substantial cash holdings and converting those reserves into Bitcoin. He also proposed that purchasing Bitcoin on the open market, rather than through over-the-counter transactions, could drive up prices, increasing the value of Strategy’s holdings and attracting more investors to the cryptocurrency.
As Bitcoin approaches the $100,000 mark, Strategy’s continued acquisitions and strategic initiatives position the company as a significant influencer in the cryptocurrency market, with its actions closely watched by investors and analysts alike.
