MicroStrategy Acquires Another 27,200 Bitcoin Worth $2 Billion

MicroStrategy Inc. MSTR on Monday announced it has purchased 27,200 Bitcoin BTC/USD for approximately $2.03 billion in cash over a ten-day period between Oct. 31 and Nov. 10, this year.

What Happened:The acquisition was completed at an average price of $74,463 per Bitcoin, inclusive of fees and expenses.

With the new purchase, MicroStrategy now holds a total of 279,420 Bitcoin at an aggregate purchase price of approximately $11.9 billion, averaging $42,692 per Bitcoin.

This latest acquisition was financed through the proceeds from recent stock sales under two agreements with financial institutions, including TD Securities and Barclays, the company stated in a release.

Through these agreements, MicroStrategy raised $2.03 billion by issuing and selling shares, a strategy that executive chairman Michael Saylor has used to increase the company’s Bitcoin holdings.

As of Nov. 10, MicroStrategy has sold an aggregate of 7,854,647 shares through these arrangements, effectively exhausting the August Sales Agreement and shifting future at-the-market stock sales to the October Sales Agreement.

Also Read: ‘The Party’s Back On’—Chainlink Co-Founder Predicts Major Crypto Growth Under Trump Presidency

Why It Matters:

The company states that it views Bitcoin as a strategic reserve asset, with long-term holdings intended to provide exposure to digital assets as an alternative to traditional capital.

Michael Saylor has been vocal about Bitcoin’s potential to improve the financial health of companies. During a recent earnings call, Saylor emphasized Bitcoin’s ability to “fix the balance sheet” and rejuvenate stock and options values.

This aligns with his previous humorous proposal to Microsoft CEO Satya Nadella, suggesting that Bitcoin could be a trillion-dollar opportunity for shareholders.

MicroStrategy’s strategy appears to be paying off, as the company recently reported over $10 billion in unrealized profit from its Bitcoin investments, following a surge in Bitcoin’s value past $82,000. This positions MicroStrategy as a leader in corporate Bitcoin adoption, with its holdings now valued at over $20 billion.

What’s Next: As interest in corporate Bitcoin holdings grows, the implications of MicroStrategy's strategy will likely be a key topic of discussion at Benzinga's Future of Digital Assets event on Nov. 19, where experts will examine the evolving role of Bitcoin in corporate treasuries and digital assets.

Read Next:

• Bitcoin Blasts Past $82,000: ‘Buy Everything You Can,’ Says Bernstein

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