Strategy Elevates Bitcoin Holdings Past $47 Billion With New Acquisition

Strategy has bolstered its Bitcoin holdings significantly by purchasing 6,500 Bitcoin for $556 million, bringing its total to 538,000 Bitcoin valued at $47.2 billion. This acquisition was financed through recent equity offerings and comes amidst ongoing economic uncertainties. Strategy’s stock trades actively with significant institutional and retail interest, and it aspires for further inclusion in major stock indices.

Strategy, formerly known as MicroStrategy, acquired 6,500 Bitcoin last week, increasing its corporate holdings by $556 million. Based in Tysons, Virginia, the firm now possesses 538,000 Bitcoin valued at $47.2 billion following a recent price surge above $88,000, as reported by CoinGecko. The average purchasing price for this latest acquisition was $84,800.

The latest Bitcoin purchase was financed through proceeds from two recent equity offerings: the issuance of Class A common shares, generating $548 million, and the sale of perpetual STRK preferred stock, which added $8 million. Despite underlying economic uncertainty, Strategy has consistently added Bitcoin to its portfolio, purchasing on five of the past six Mondays.

Purchasing amounts have varied, ranging from $11 million in mid-March to significant investments, such as $1.9 billion just weeks later, according to Saylor Tracker. Strategy’s shares traded around $322, reflecting a 1.6% increase, having fluctuated between $317 and $328 during the day’s trading.

Michael Saylor, the co-founder of Strategy, emphasised on X (formerly Twitter) that the company has evolved beyond a niche option for Bitcoin exposure. Presently, 13,000 institutions and 814,000 retail accounts hold direct shares, while approximately 55 million investors gain indirect exposure through various financial products.

In December, Strategy was included in the Nasdaq 100, placing it among notable tech entities like Apple and Meta. Moving forward, the company aims for potential inclusion in the S&P 500, although its inconsistent profit margins currently pose a challenge to meeting the criteria for acceptance.