Posted 1 year ago | by @devadmin
MicroStrategy has announced it has purchased over $1 billion worth of Bitcoin, after finalizing another sale of senior convertible notes in debt.
The software intelligence technology company stated the purchase of 19,452 bitcoins puts the company’s total holdings of the number one digital asset at 90,531. Microstrategy said it paid an average price of $52,765 per Bitcoin, including fees and other expenses.
Michael Sonnenshein the CEO of Grayscale responded to a recent Microstrategy filing for the $1 billion dollar Bitcoin buy, expressing that Saylor was, “trying to catch up with Grayscale?” Grayscale Bitcoin Trust holds a massive 649,130 BTC worth $31 billion today. If Microstrategy is really trying to catch up to Grayscale, they have a long way to go.
MicroStrategy stated the average aggregate purchase price of all its Bitcoin purchases is now at $23,985 per digital token.
MicroStrategy revealed its first Bitcoin purchase in August, using existing cash on its balance sheet to acquire the cryptocurrency. The company has since completed two convertible debt offerings to raise capital to finance additional purchases of Bitcoin.
Cointelegraph reported that since MicroStrategy’s original purchase in Bitcoin, the company has gone on to spend in excess of $4 billion on the digital asset. Saylor added there was no plan to stop buying BTC any time soon.
“The Company remains focused on our two corporate strategies of growing our enterprise analytics software business and acquiring and holding bitcoin,” said Michael J. Saylor, CEO, MicroStrategy Incorporated. “The company now holds over 90,000 bitcoins, reaffirming our belief that bitcoin, as the world’s most widely-adopted cryptocurrency, can serve as a dependable store of value. We will continue to pursue our strategy of acquiring bitcoin with excess cash and we may from time to time, subject to market conditions, issue debt or equity securities in capital raising transactions with the objective of using the proceeds to purchase additional bitcoin.”
Phong Le, president and chief financial officer of MicroStrategy, stated the Bitcoin purchases would help enhance awareness of its brand as a software business and aid in the adoption of Bitcoin as a well.
“MicroStrategy remains dedicated to our enterprise analytics customers and our goal of operating a growing profitable business intelligence company,” said Phong Le, President & CFO, MicroStrategy Incorporated. “We believe our bitcoin strategy, including our bitcoin holdings and related activities in support of the bitcoin network, is complementary to our software business, by enhancing awareness of our brand and providing opportunities to secure new customers.”
Bitcoin is currently trading at [FIAT:$49,071.21 ] UP +6.7% in the last 24 hours according to Coingecko at the time of this report.