In a strategic move to enhance its cryptocurrency portfolio, MicroStrategy (MSTR), led by Executive Chairman Michael Saylor, added to its already significant bitcoin holdings last week. The company purchased 1,895 BTC for an impressive $180.3 million, translating to an average acquisition cost of $95,167 per bitcoin, as disclosed in a recent SEC filing.
This latest purchase was financed through the sale of $128.5 million in common stock and $51.8 million in STRK preferred stock. Notably, the common stock sale utilized the remaining balance of MSTR’s 2024 $21 billion at-the-market (ATM) offering, while also leading to the announcement of a new $21 billion ATM offering aimed at further augmenting its investment strategy.
With this acquisition, MicroStrategy’s total bitcoin holdings have reached 555,450 BTC, bought at an aggregate cost of $38.08 billion, resulting in an average price per bitcoin of approximately $68,550. Given the current market conditions, with bitcoin priced around $94,000, the value of MSTR’s holdings exceeds a remarkable $52 billion.
As of the latest trading session, MSTR appears to be facing a slight decline, having moved lower by 2.7% in premarket action. This development prompts discussions around the company’s strategic approach in the volatile cryptocurrency market and its long-term financial outlook.
