MicroStrategy, the prominent business intelligence company, has continued its Bitcoin accumulation strategy by purchasing 15,400 BTC for $1.5 billion. This acquisition has raised the company’s total Bitcoin holdings to 402,100 BTC, valued at around $38.2 billion at the current Bitcoin price of $95,000.
Key Details of the Recent Bitcoin Purchase
The latest 15,400 BTC were bought over the week ending December 1st at an average price of $95,976 per Bitcoin. The purchase was financed through MicroStrategy’s at-the-market program, which involves raising capital by selling shares. This strategy enables the company to fund its aggressive Bitcoin buying without dipping into its core operating funds.
With the new purchase, MicroStrategy now controls over 1.9% of the total 21 million Bitcoins that will ever be mined, solidifying its position as one of the largest corporate holders of the cryptocurrency.
Michael Saylor Advocates for Bitcoin Investment at Microsoft
Michael Saylor, Executive Chairman of MicroStrategy, has been actively promoting the adoption of Bitcoin as a core asset for corporate treasuries. Recently, he presented the case for Bitcoin investment to Microsoft’s board, emphasizing that Bitcoin would serve as a diversification strategy for the company’s treasury. Saylor argued that Microsoft’s current investment strategy, which focuses on bonds and other assets, has led to significant missed opportunities.
He pointed out that Microsoft’s decision to buy back stock and pay dividends has cost the company $200 billion over the last five years, while Bitcoin has surged more than 1,200% in the same period. Saylor believes that adopting Bitcoin as a treasury asset could have positioned Microsoft for better long-term growth.
MicroStrategy’s Potential Inclusion in Nasdaq 100
In addition to its Bitcoin purchases, MicroStrategy is also under consideration for inclusion in the Nasdaq 100 index. This rebalancing decision is expected to be announced on December 13. The potential inclusion would further elevate MicroStrategy’s profile and highlight its significant Bitcoin holdings, which are seen as a major differentiator in the market.
MARA Holdings Also Increases Bitcoin Stack
Following in the footsteps of MicroStrategy, Bitcoin miner MARA Holdings (MARA) has also expanded its Bitcoin holdings. Between October 1 and November 30, MARA acquired 6,484 BTC for around $618.3 million, at an average price of $95,352 per coin. MARA has similarly focused on raising capital to fund its Bitcoin purchases, including launching a $700 million offering of zero-coupon convertible senior notes.
Conclusion: Bitcoin’s Growing Role in Corporate Strategy
MicroStrategy’s continued Bitcoin accumulation, alongside its advocacy for Bitcoin at Microsoft, underscores the growing importance of Bitcoin in the world of corporate finance. As Bitcoin continues to gain acceptance as a treasury asset, companies like MicroStrategy and MARA Holdings are positioning themselves to leverage its potential for long-term growth. This shift in corporate strategy could signal broader adoption of Bitcoin across the business world in the coming years.
