MicroStrategy Adds 7,420 Bitcoin, Total Holdings Near $10 Billion

20. Sep 2024 Posted by Laurent C. on News

MicroStrategy has once again expanded its impressive Bitcoin (BTC) portfolio, acquiring 7,420 BTC for approximately $458.2 million at an average price of $61,750 per coin, as announced by CEO Michael Saylor on September 20.

This latest purchase brings the company’s total Bitcoin holdings to 252,220 BTC, acquired at an average price of $39,266 per Bitcoin. With Bitcoin’s price at $62,871.62 at the time of writing, MicroStrategy’s unrealized profit nears an astounding $6 billion. The company has invested nearly $9.9 billion into the cryptocurrency, cementing its position as the largest publicly-listed corporate holder of Bitcoin.

The tech firm’s BTC holdings have delivered strong returns, with a reported yield of 5.1% for the current quarter and 17.8% year-to-date, as of September 19, 2024. This increase further widens the gap between MicroStrategy and other companies holding Bitcoin, notably Marathon Digital, which holds 25,945 BTC. MicroStrategy now holds 226,275 more BTC than its closest competitor.

This acquisition follows another major purchase on September 13, when MicroStrategy revealed it had bought 18,300 BTC at an average price of $60,408, totaling $1.11 billion. The company’s aggressive Bitcoin accumulation began in Q2 2024, with a 12,222 BTC addition, costing over $805 million. In Q3 alone, MicroStrategy has already added 25,720 BTC to its reserves.

Looking ahead, MicroStrategy appears poised to continue its Bitcoin-buying spree. On September 16, the company announced it would issue $700 million in convertible senior notes to fund further Bitcoin acquisitions. By September 20, that offering had been increased to over $1 billion. While it’s unclear if the company will make a single large acquisition or several smaller ones, MicroStrategy’s commitment to increasing its Bitcoin holdings remains steadfast.

If the current pace continues, MicroStrategy’s total investment in Bitcoin could soon approach $11 billion, with its BTC stash surpassing the 270,000 mark. The company's bold strategy of converting cash reserves into Bitcoin positions it as a central player in the cryptocurrency market, reaffirming its leadership role in corporate crypto investments.