Strategy, formerly known as MicroStrategy, has once again made waves in the cryptocurrency world by adding a substantial amount of Bitcoin to its holdings. The company announced the purchase of 20,356 BTC for approximately $1.99 billion, at an average price of $97,514 per coin.
This latest acquisition brings Strategy’s total Bitcoin holdings to an impressive 499,096 BTC, valued at roughly $47 billion at current market prices. The company’s average purchase price now stands at $66,357 per Bitcoin, demonstrating its long-term commitment to the cryptocurrency.
To fund this massive purchase, Strategy successfully completed a $2 billion convertible note offering. The notes, which mature on March 1, 2030, feature a 0% coupon and are convertible to Strategy’s Class A common stock at $433.43 per share – a 35% premium over the market price at the time of the offering.
Michael Saylor, Strategy’s founder and executive chairman, has been a vocal proponent of Bitcoin as a store of value and hedge against inflation. The company’s latest move is part of its ambitious “21/21 Plan,” which aims to raise $42 billion in capital over the next three years to continue acquiring Bitcoin.
Despite reporting a net loss of $670 million in the fourth quarter of 2024, Strategy remains undeterred in its Bitcoin-centric approach. The company’s bold strategy has attracted attention from institutional investors, with BlackRock recently increasing its stake in Strategy to 5%.
As Strategy edges closer to owning half a million Bitcoin, it continues to redefine corporate treasury management in the digital age. With its latest acquisition, the company now holds over 2.3% of Bitcoin’s total supply, solidifying its position as the world’s largest corporate holder of the cryptocurrency.
While Strategy’s aggressive Bitcoin accumulation strategy has yielded significant unrealized gains, the long-term success of this approach remains to be seen. As the cryptocurrency market continues to evolve, all eyes will be on Strategy and its bold bet on Bitcoin’s future.
Disclaimer: The information provided on or accessed through TrueToCrypto.com (the “Website”) is for general informational purposes only and is obtained from independent sources that are believed to be reliable. However, TrueToCrypto.com, its owners, affiliates, officers, employees, and agents (collectively, “We,” “Us,” or “Our”) make no representations or warranties, express or implied, as to the accuracy, completeness, timeliness, reliability, or suitability of the information contained on or accessed through this Website. Further read Disclaimer.
