MicroStrategy, the renowned business intelligence firm, has once again made significant strides in its Bitcoin acquisition strategy. In the week ending December 1, the company purchased an additional 15,400 BTC for a total of $1.5 billion. This brings MicroStrategy’s total Bitcoin holdings to 402,100 BTC, worth approximately $38.2 billion at the current price of $95,000 per Bitcoin.
Strategic Bitcoin Purchases Funded by Share Sales
MicroStrategy’s latest Bitcoin purchase was financed through the company’s at-the-market program. This method allows the firm to raise capital by selling shares, providing it with the funds needed to further expand its Bitcoin portfolio. The firm’s strategy of accumulating Bitcoin through capital raises has proven effective, as it now holds over 1.9% of the total Bitcoin supply.
This massive accumulation of Bitcoin has solidified MicroStrategy as one of the largest corporate holders of the cryptocurrency, further cementing its commitment to Bitcoin as a long-term asset.
Michael Saylor Pushes for Bitcoin Adoption at Microsoft
Michael Saylor, Executive Chairman of MicroStrategy, is a strong advocate for Bitcoin as a corporate treasury asset. Recently, he made headlines for presenting the case for Bitcoin investment to Microsoft’s board. Saylor highlighted how Microsoft’s current treasury strategy, focused on bonds and traditional assets, has resulted in $200 billion in lost capital over the last five years through stock buybacks and dividends.
Saylor emphasized that had Microsoft chosen to invest in Bitcoin instead, it could have benefited from the cryptocurrency’s 1,200% growth over the same period. In his presentation, he argued that Bitcoin would provide a better diversification strategy, potentially strengthening the company’s financial position and offering greater long-term value.
Nasdaq 100 Rebalancing: Will MicroStrategy Be Included?
As part of its ongoing success, MicroStrategy may soon be included in the Nasdaq 100 index, a decision that will be revealed on December 13. This potential inclusion would highlight MicroStrategy’s growing influence in the market and its significant stake in Bitcoin, showcasing the company as a key player in both the tech and crypto sectors.
MARA Holdings Also Joins the Bitcoin Accumulation Trend
Following MicroStrategy’s lead, Bitcoin miner MARA Holdings (MARA) has also been increasing its Bitcoin holdings. During the period from October 1 to November 30, MARA purchased 6,484 BTC for $618.3 million at an average price of $95,352 per Bitcoin. The company has raised funds through capital markets, similar to MicroStrategy’s strategy, to fund its Bitcoin purchases.
Additionally, MARA has launched a $700 million offering of zero-coupon convertible senior notes to further bolster its Bitcoin reserves. This strategy reinforces the growing trend of companies using capital raises to fund Bitcoin acquisitions as they recognize its potential for long-term growth.
The Bigger Picture: Bitcoin as a Corporate Asset
MicroStrategy’s ongoing commitment to Bitcoin, combined with its push for adoption at Microsoft, is a clear signal of the cryptocurrency’s growing role in the world of corporate finance. As more companies turn to Bitcoin as a treasury asset, its importance is expected to rise, reshaping traditional financial strategies.
In conclusion, MicroStrategy and MARA Holdings are leading the way, embracing Bitcoin as an asset and reinforcing its potential as a store of value in the corporate world. The continued rise of Bitcoin in corporate portfolios could be a major indicator of its long-term value in the global financial landscape.
