MicroStrategy surpasses 439k Bitcoins as $1.5 billion investment pays off
MicroStrategy has made another high-profile acquisition
MicroStrategy has made another high-profile acquisition. Between December 9 and December 15, the company purchased 15,350 Bitcoin for $1.5 billion in cash.
This latest purchase raises its total Bitcoin holdings to 439,000 BTC, solidifying its position as one of the largest corporate holders of the digital asset, according to the Cryptopolitan.
The acquisition was funded through the sale of 3.88 million shares of MicroStrategy’s class A common stock. The company disclosed that the average purchase price for the latest batch of Bitcoin was $100,386 per coin, including fees.
To date, MicroStrategy has invested $27.1 billion in Bitcoin, bringing its average cost per BTC to $61,725.
Stock sales fuel MicroStrategy’s Bitcoin buying spree
MicroStrategy’s ongoing Bitcoin acquisition strategy is backed by a sales agreement with major financial institutions like TD Securities, Barclays, and Cantor Fitzgerald. The arrangement, signed on October 30, allows the company to sell up to $21 billion worth of its class A stock over time.
As of December 15, MicroStrategy had raised $1.54 billion from share sales, leaving $7.65 billion in available capacity for future funding.
The company’s leadership, including co-founder and executive chairman Michael Saylor, views Bitcoin as a "superior reserve asset" compared to cash or traditional investments. To increase liquidity and facilitate capital raises, MicroStrategy also executed a 10-for-1 stock split earlier this year.
MicroStrategy’s proprietary metric, BTC yield, highlights the efficiency of its strategy. The BTC yield, which tracks Bitcoin acquisitions relative to outstanding shares, surged by 46.4% from October 1 to December 15 and now sits at 72.4% year-to-date.
While the metric doesn’t account for liabilities like debt, it provides insight into the firm’s ability to grow its Bitcoin reserves relative to shareholder dilution. With 439,000 BTC under its control and a clear pathway for future acquisitions, MicroStrategy’s commitment to Bitcoin shows no signs of slowing down.
MicroStrategy (MSTR) has entered the top 100 publicly traded U.S. companies, ranking 97th overall. This milestone follows a 12% surge in its stock price to $430 per share, driven by Bitcoin's all time high.
