MicroStrategy Acquires 15,400 bitcoins with Share Sale Proceeds

by

As a seasoned researcher with a keen eye for financial trends and a soft spot for Bitcoin, I find MicroStrategy’s latest move intriguing. With a staggering $23.4 billion investment in Bitcoin, they’ve solidified their position as a pioneer in institutional crypto adoption. Their strategic use of equity sales to fund these acquisitions is a bold yet calculated move that reflects a strong commitment to this burgeoning asset class.

MicroStrategy recently disclosed their purchase of roughly 15,400 Bitcoins for a total of about $1.5 billion, with an average cost per Bitcoin (including fees) amounting to approximately $95,976 per coin.

By December 1, 2024, our company has accumulated a total of 402,100 Bitcoins, which we bought for approximately $23.4 billion, averaging around $58,263 per Bitcoin.

Between November 25 and December 1, 2024, a purchase was made using the earnings from selling approximately 3.7 million Class A common shares, which totaled around $1.48 billion. This sale is an element of a larger $21 billion Sales Agreement involving TD Securities (USA) LLC and other parties.

On October 30, 2024, the Sales Agreement – a collaborative effort involving TD Securities (USA) LLC and additional sales representatives – was initiated. This agreement facilitated the selling of shares, with roughly $11.3 billion still up for potential future share issuance.

In the month of November, MicroStrategy completed its biggest Bitcoin acquisition, securing 55,500 Bitcoins at a total cost of $5.4 billion, which equates to approximately $97,862 per Bitcoin on average.

MicroStrategy’s approach to bitcoin remains focused on increasing its holdings through stock sales, demonstrating its robust dedication to cryptocurrency investments. The company has reported a quarterly return on bitcoin of 38.7% and a year-to-date return of an impressive 63.3%.

Read More

2024-12-02 19:32