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MicroStrategy Purchases Another $786 Million in Bitcoin with Note Proceeds
(Bloomberg) — MicroStrategy Inc. bought about $786 million in Bitcoin with proceeds raised from the sale of convertible notes.
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According to a document filed Thursday with the U.S. Securities and Exchange Commission, the company acquired 11,931 Bitcoins between April 27 and June 19. This is MicroStrategy’s third largest Bitcoin acquisition after purchasing 12,000 tokens for $821 million on March 11.
The company has repeatedly tapped the debt market to grab a bigger share of the cryptocurrency this year, spending more than $2.4 billion on Bitcoin in 2024 alone.
The purchases brought MicroStrategy’s overall holdings to 226,331 Bitcoin, worth approximately $14.9 billion. However, MicroStrategy spent just $8.3 billion in the cryptocurrency, giving the company an 80% paper gain on its investments.
Michael Saylor, president and co-founder of MicroStrategy, began buying Bitcoin in 2020 as a hedge against inflation and as an alternative to holding cash. The cryptocurrency is up about 600% since Saylor started buying it.
The move to buy Bitcoin boosted MicroStrategy’s stock price, which skyrocketed more than 1,000% after Saylor’s decision. The stock fluctuated between gains and losses on Thursday, while Bitcoin stabilized.
–With assistance from Tom Contiliano.
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