MicroStrategy Acquires 15,400 Bitcoin for $1.5 Billion, Expanding Holdings to 402,100 BTC

• MicroStrategy acquired 15,400 Bitcoin for $1.5 billion at an average price of $95,976 per BTC.
• The company now holds 402,100 BTC, with total holdings valued over $38 billion.
• MicroStrategy’s Bitcoin Yield has reached 63.3%, reflecting efficient acquisition strategies.

MicroStrategy has expanded its Bitcoin holdings by acquiring an additional 15,400 BTC for approximately $1.5 billion. The latest purchase, between November 25 and December 1, saw the company acquire Bitcoin at an average price of $95,976 per coin, according to a recent filing with the Securities and Exchange Commission.

This acquisition follows MicroStrategy’s sale of 3,728,507 of its own shares, which raised the necessary funds for the Bitcoin purchase. The firm’s strategy aims to bolster its position in the cryptocurrency market, with the total value of its Bitcoin holdings now surpassing $38 billion. 

The company has now accumulated a total of 402,100 BTC at an average price of $58,263 per Bitcoin, resulting in a total investment of about $23.4 billion, including associated fees.

The company has made Bitcoin purchases over the past few weeks. Notably, just last week, MicroStrategy acquired 55,500 BTC for approximately $5.4 billion at an average price of $97,862 per coin. This follows an earlier acquisition of $4.6 billion worth of Bitcoin.

As part of its ongoing capital raising strategy, MicroStrategy continues to target further Bitcoin purchases.

The company has set out a $42 billion capital raise plan, which includes a $21 billion equity offering and $21 billion in fixed-income securities. These efforts aim to expand the firm’s Bitcoin holdings over the next three years.

MicroStrategy’s strategy is closely tied to its key performance indicator, the “Bitcoin Yield,” which measures the growth of its Bitcoin holdings relative to its diluted shares.

As of December 1, the company’s Bitcoin Yield stands at 63.3%, reflecting substantial growth in its holdings and the balance it seeks to strike between share dilution and efficient Bitcoin acquisition. 

Moreover, Michael Saylor, the company’s co-founder and executive chairman, recently advised Microsoft’s CEO, Satya Nadella, and its board to consider adopting Bitcoin as part of their treasury strategy, underscoring MicroStrategy’s belief in Bitcoin’s long-term potential.