MicroStrategy Acquires 5,445 Bitcoins Worth $147 Million

Jimmy Aki
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Popular business intelligence (BI) solution firm MicroStrategy has expanded its Bitcoin holdings by acquiring an additional 5,445 BTC. This acquisition, amounting to $147.4 million, was executed at $27,053 per Bitcoin, including all fees and expenses.

Bitcoin Portfolio Expands to New Aggregate of 158,245 BTC

MicroStrategy has emerged as one of the largest corporate holders of Bitcoin after announcing its latest acquisition of 5,445 BTC earlier today.

According to a regulatory filing by the Securities Exchange Commission (SEC), the firm and its subsidiaries bought 5,445 BTC worth $147.3 million between August 1 and September 24, 2023.

Co-founder and executive chairman of the software firm, Michael Saylor, announced on X (formerly Twitter) that the acquisition was completed at an average price of $27,053 per token.

This latest purchase has brought the firm’s total Bitcoin holding to a staggering 158,245 BTC. The company also revealed that it had invested about $4.68 billion, with an average purchase price of $29,582 per Bitcoin.

To fund the substantial investment in BTC, MicroStrategy had issued and sold up to 403,362 of its class A common stock (MSTR) at $0.001 per share. The sale was carried out under a Sales Agreement from August 1, 2023.

The agreement was made between Cowen and Company, LLC, Canaccord Genuity, LLC, and Berenberg Capital Markets, LLC. These three firms acted as sales agents for MicroStrategy shares.

The terms of the Sales Agreement allowed MicroStrategy to issue and sell more class A common stocks with a total offering price of up to $750 million. This will provide the company with more liquidity and financial stability for a potential new BTC investment in the future.

Michael Saylor Driven BTC Investment May Be Strategic

Michael Saylor has been a staunch supporter of Bitcoin since the firm’s first BTC investment on August 11, 2020. The company bought 21,454 BTC worth $250 million at that time.

In Saylor’s view, Bitcoin is the new digital gold, consistently demonstrating its worth as a strategic treasury reserve asset and inflation-hedging plot.

The CEO stated that the global acceptance, brand recognition, network dominance, ecosystem vitality, architectural resilience, community ethos, and technical utility of Bitcoin are persuasive evidence.

He further predicted Bitcoin’s burgeoning ecosystem to be building the basics of its token superiority as an asset class for those seeking a sustainable store of value.

Saylor’s BTC prediction since August 2020 remains on track as the token is currently trading at $26,216, a major rise from its August 2020 price of approximately $11,500.

Source: CoinMarketCap

MicroStrategy’s latest BTC acquisition comes when the crypto market is experiencing a significant downtrend.

The firm has recently suffered a colossal loss of over $600 million in August, following BTC’s price fall of around $25,000. Nevertheless, MicroStrategy remains undeterred.

About Jimmy Aki PRO INVESTOR

Based in the UK, Jimmy is an economic researcher with outstanding hands-on and heads-on experience in Macroeconomic finance analysis, forecasting and planning. He has honed his skills having worked cross-continental as a finance analyst, which gives him inter-cultural experience. He currently has a strong passion for regulation and macroeconomic trends as it allows him peek under the global bonnet to see how the world works.