MicroStrategy announced that it Purchased Bitcoin purchased 18,300 bitcoins for $1.11 billion, bringing its total holdings to 244,800 bitcoins purchased for $9.45 billion.
The business intelligence firm, led by Bitcoin specialist Michael Saylor, has been steadily accumulating Bitcoin as part of its corporate strategy since 2020. MicroStrategy’s latest $1 billion purchase was made at an average price of $60,408 per Bitcoin.
According to SaylorThe company has returned 17% on bitcoin so far this year, benefiting from the rise in bitcoin’s value as it continues to borrow fiat currencies at low interest rates to expand its holdings.
At current prices, MicroStrategy’s Bitcoin holdings are worth over $15 billion, which is a huge benefit to shareholders. The company’s stock price has risen in tandem with its Bitcoin accumulation.
Despite the challenging market conditions that may face in 2024, MicroStrategy continues to strengthen its position on Bitcoin for the long term. The company treats Bitcoin as a superior treasury asset compared to cash, which is subject to depreciation due to inflation.
MicroStrategy is making the largest speculative attack on fiat currency in history by acquiring hard cash for its treasury. Other public companies are following in MicroStrategy’s footsteps by adopting Bitcoin treasury policies and taking Bitcoin exposure on their balance sheets. However, MicroStrategy remains the largest Bitcoin holding company in the world.
By harnessing untapped capital to capitalize on Bitcoin’s rise, MicroStrategy has transformed itself into a Bitcoin development startup working to drive global adoption of Bitcoin.