MicroStrategy Plans to Purchase Additional $750 Million in Bitcoin, BTC Price Surges to $30,000
Despite holding a Bitcoin treasury worth over $4.5 billion, billionaire Michael Saylor's company MicroStrategy shows no signs of slowing down.
MicroStrategy Plans to Purchase Additional $750 Million in Bitcoin, BTC Price Surges to $29,800
Article updated with Bitcoin price.
In its Q2/2023 financial report, MicroStrategy disclosed the purchase of an additional 467 Bitcoin (BTC) in July, amounting to $14.4 million. This move increased the company's Bitcoin holdings to 152,800 BTC, acquired at an average price of $29,672 per BTC, equivalent to $4.53 billion.
In July, @MicroStrategy acquired an additional 467 BTC for $14.4 million and now holds 152,800 BTC. Please join us at 5pm ET as we discuss our Q2 2023 financial results and answer questions about the outlook for #BusinessIntelligence and #Bitcoin. $MSTR https://t.co/SCHeBJ80TH
— Michael Saylor⚡️ (@saylor) August 1, 2023
With Bitcoin's market price currently fluctuating between $29,700 and $29,900, MicroStrategy sees this as a slight profit-taking opportunity, or perhaps a "reinvestment" after nearly three years of cryptocurrency investment.
Earlier in June, MicroStrategy announced the purchase of 12,333 BTC for $347 million in cash, citing confidence in the potential of the world's largest cryptocurrency following news of asset management giant BlackRock filing for a Bitcoin spot ETF with the SEC.
Q2/2023 marks MicroStrategy's largest Bitcoin acquisition period since Q1/2021, a time when the crypto market was buoyant due to Tesla's acceptance of Bitcoin as a payment method.
The company revealed it financed these recent BTC acquisitions by selling shares to raise capital, subsequently converting the proceeds into Bitcoin. MicroStrategy remains steadfast in its long-term belief in Bitcoin as a solid store of value, secured by decentralized storage technology independent of national monetary policies.
Moreover, in a filing submitted to the SEC on August 1 (U.S. time), the company announced it had reached an agreement to offer $750 million in shares to interested investors, with plans to continue using the proceeds to purchase more Bitcoin.
Bitcoin's price has reacted very positively to these developments, rising from $29,000 to nearly $30,050 on the morning of August 2. This marks the highest price level for the world's number one cryptocurrency since July 24.
MicroStrategy plans to issue and sell up to $750 million in stock to fund bitcoin purchases and other uses.
— Wu Blockchain (@WuBlockchain) August 2, 2023
As of July 31, MicroStrategy held 152,800 bitcoins, adding 12,333 in the second quarter, the largest single-quarter increase since the second quarter of 2021.…
[1-hour chart of BTC/USDT pair on Binance at 08:35 AM on 02/08/2023]
