Updated 13 Apr, 2021

MicroStrategy Adds $15 Million More of Bitcoin

MicroStrategy Adds $15 Million More of Bitcoin

MicroStrategy

Key Takeaways

  • MicroStrategy purchases another 253 bitcoins, according a filing with the SEC
  • The company now has over 81% of its market value in bitcoin

MicroStrategy, a business intelligence firm famous for its strong commitment to bitcoin, has made another Bitcoin investment, following its previous purchases. The tech company announced last week it had acquired “approximately 253 bitcoins for $15.0 million in cash, at an average price of approximately $59,339 per bitcoin”. The filing with the SEC continues to say that the company now “holds approximately 91,579 bitcoins that were acquired at an aggregate purchase price of $2.226 billion and an average purchase price of approximately $24,311 per bitcoin.”

The Nasdaq-listed company is by far the largest mainstream corporate bitcoin owner. According to Bitcoin Treasuries, MicroStrategy now has 81% of its total market capitalization of $6.8bn allocated to bitcoin. Tesla follows with a small-sized bitcoin bet representing about 0.3% of its total market value of $757bn. Tesla’s bitcoin investment of $1.5bn was disclosed in early February, and today it’s worth roughly $2.6bn.

MicroStrategy’s CEO, Michael Saylor, has been one of the most vocal proponents of bitcoin and its characteristics. To celebrate the purchase, he took to Twitter and published the announcement. Michael Saylor’s efforts to push the crypto asset higher have been significant over the last year. Since his company decided to pivot to cryptocurrency, he has been a strong supporter of the crypto revolution.

Mr. Saylor praises bitcoin as “a dependable store of value and an attractive investment asset with more long-term appreciation potential than holding cash.” He had also likened bitcoin to “digital gold” and has defined it as a “safe haven asset”. According to him, “Bitcoin is engineered, synthetic, pharmaceutical-grade gold.”

MicroStrategy’s investment in bitcoin has so far appreciated by over 140% as the company and its CEO remain determined to support bitcoin and cryptocurrency adoption in mainstream finance and overall day-to-day use.