MicroStrategy Purchases an Additional $4.6 Billion in Bitcoin

MicroStrategy, one of the largest public holders of Bitcoin, has increased its Bitcoin reserves amid recent gains in the market.

MicroStrategy has acquired 51,780 BTC for ~$4.6 billion at ~$88,627 per #bitcoin and has achieved BTC Yield of 20.4% QTD and 41.8% YTD. As of 11/17/2024, we hodl 331,200 $BTC acquired for ~$16.5 billion at ~$49,874 per bitcoin. $MSTR https://t.co/SRRtRrB2jO
— Michael Saylor⚡️ (@saylor) November 18, 2024

On November 18th, the company disclosed that it had acquired an additional 51,780 Bitcoin at a total cost of approximately $4.6 billion, with an average price of $88,627 per Bitcoin.

Following this purchase, MicroStrategy’s total Bitcoin holdings are 331,200 Bitcoin, bought at an aggregate cost of $16.5 billion, with an average cost basis of $49,874 per Bitcoin.

The latest acquisition was financed through the sale of company shares under an agreement with firms including TD Securities, finalized on October 30th.

As part of this agreement, MicroStrategy issued shares to institutional investors such as Barclays Capital, Canaccord Genuity, and Mizuho Securities.

Between November 11th and 13th, the company raised $4.6 billion by selling 13.6 million shares.

According to a filing with the U.S. Securities and Exchange Commission dated November 17th, MicroStrategy retains approximately $15.3 billion worth of shares available for potential future sales under the agreement.

The acquisition represents MicroStrategy’s largest single purchase of Bitcoin, accounting for over 16% of its total holdings.

Established in 1989, MicroStrategy is currently recognized as the largest institutional holder of Bitcoin, based on data from BitcoinTreasuries.

Under the leadership of its founder Michael Saylor, the company initially entered the Bitcoin market in August 2020 with an investment of $250 million, designating Bitcoin as its “primary reserve currency.” Since then, it has continued to increase its Bitcoin holdings incrementally.

In October, MicroStrategy announced a strategic initiative, the “21/21 plan,” which aims to raise $42 billion over the next three years through a combination of equity and fixed-income securities to fund further Bitcoin purchases.