Microstrategy Purchased 1,070 BTC for $101 Million

The post Microstrategy Purchased 1,070 BTC for $101 Million appeared first on Coinpedia Fintech News

MicroStrategy has acquired 1,070 BTC for ~$101 million at ~$94,004 per bitcoin and has achieved BTC Yield of 48.0% in Q4 2024 and 74.3% in FY 2024. As of 01/05/2025.

The company holds 447,470 $BTC acquired for ~$27.97 billion at ~$62,503 per bitcoin.

Companys’s Bitcoin Buying Strategy

Under the leadership of co-founder Michael Saylor, MicroStrategy has consistently added Bitcoin to its reserves, fueled by another major acquisition. For nine straight weeks, the company has hinted at increasing its Bitcoin reserves, aligning with its bold 21/21 plan.

The company is following its 21/21 plan, aiming to buy $42 billion worth of Bitcoin. It plans to achieve this by raising $21 billion through equity and $21 billion through fixed-income securities. 

Since launching this strategy, MicroStrategy has already bought over 194,000 BTC, worth about $18 billion, reaching 42% of its goal in just two months.

MicroStrategy’s New Stock Offering

To fund its aggressive Bitcoin buying strategy, MicroStrategy has used loans and convertible notes in the past. Now, it plans to issue perpetual preferred stock this quarter. However, this offering depends on market conditions and the company’s final decision.

The preferred stock will be “senior” to regular shares, meaning stockholders will have priority if the company goes bankrupt or liquidates its assets.

Impact on MicroStrategy’s Stock (MSTR)

In addition, MicroStrategy’s inclusion in the Nasdaq 100 has strengthened its position in both the crypto and traditional financial markets. This achievement could attract billions of dollars from passive fund investments.

At the same time, the bitcoin buying approach has truly benefited MicroStrategy’s stock, with shares soaring 13% and currently trading at $339.

Its ongoing commitment to acquiring Bitcoin has solidified its position as a key player in the crypto market, with Saylor’s posts becoming a closely watched indicator of future purchases.