MicroStrategy Acquires 15,400 BTC for $1.5 Billion in Cash
Software company MicroStrategy, led by Michael Saylor, has acquired an additional 15,400 BTC at an average price of $95,976, totaling approximately $1.5 billion. This purchase was disclosed on December 2 and further solidifies MicroStrategy's position as the largest corporate holder of Bitcoin.
MicroStrategy has acquired 15,400 BTC for ~$1.5 billion at ~$95,976 per #bitcoin and has achieved BTC Yield of 38.7% QTD and 63.3% YTD. As of 12/2/2024, we hodl 402,100 $BTC acquired for ~$23.4 billion at ~$58,263 per bitcoin. $MSTR https://t.co/K3TK4msGp0
— Michael Saylor⚡️ (@saylor) December 2, 2024
With this acquisition, MicroStrategy now holds a total of 402,100 BTC valued at around $38 billion, originally purchased for $23.4 billion at an average of $58,263 per Bitcoin. According to a Form 8-K filing with the SEC, the bitcoins were bought between November 25 and December 1, funded through proceeds from issuing and selling company shares.
On October 30, 2024, MicroStrategy announced a plan to sell shares over time, potentially raising up to $41 billion. During the specified period, it sold 3.7 million shares for $1.48 billion after fees, using these funds for Bitcoin purchases.
This marks the fourth consecutive week of Bitcoin acquisitions by MicroStrategy. The previous week, the firm purchased 55,500 BTC for around $5.4 billion at an average price of $97,862 per BTC, following another significant investment the week before.
The MicroStrategy Bitcoin Yield reached 38.7% from October 1 to December 1, 2024, and 63.3% from January 1 to December 1, 2024, according to the filing:
From October 1, 2024 to December 1, 2024, the Company’s BTC Yield was 38.7%. From January 1, 2024 to December 1, 2024, the Company’s BTC Yield was 63.3%.
Crypto Experts Predict Larger Financial Institutions Will Follow Suit
In response to the acquisition, crypto commentator MDB noted that this demonstrates Bitcoin's unique capacity to enable companies to compete with nations and individuals to challenge corporations, indicating a shift in the financial landscape.
Bitcoin reached an all-time high of $99,655 on November 22, prompting speculation about surpassing the $100,000 mark soon. MicroStrategy's ongoing accumulation, alongside Bitcoin's price rise, may prompt larger financial institutions to enter the crypto market, possibly driving BTC prices higher.
A favorable administration in the United States that eases crypto regulations could also encourage broader adoption of cryptocurrency globally, potentially resulting in increased prices across various cryptocurrencies.