MicroStrategy boosts bitcoin portfolio with additional $347m investment
MicroStrategy has announced the acquisition of an additional 12,333 bitcoins, investing roughly $347 million, thereby solidifying its position as a significant player in the crypto landscape.
As per a recent Securities and Exchange Commission (SEC) filing, MicroStrategy, under the helm of Michael Saylor, has expanded its bitcoin portfolio with an additional investment of $347 million.
The purchase, executed between April 29 and June 27, added 12,333 bitcoins to the company’s digital asset inventory, bought at an average rate of approximately $28,136 per coin.
This significant purchase escalates MicroStrategy’s total holdings to 152,333 BTC. Given the current trading value of bitcoin, hovering around $30,300 per coin, the net worth of the company’s digital assets totals nearly $4.6 billion.
The accumulation of these assets, including fees and expenses, has cost MicroStrategy an estimated $4.52 billion, implying an average acquisition cost of about $29,668 per bitcoin.
MicroStrategy’s latest venture into the cryptocurrency market occurred two months after its April purchase of 1,045 bitcoins for approximately $23.9 million.
The company’s top executives, including Saylor, remain ardent supporters of bitcoin, the premier and most capitalized cryptocurrency globally. Last month, CEO Phong Le affirmed the firm’s commitment to its bitcoin-focused strategy, given the ongoing maturation of the digital asset sector.
Bitcoin has recently experienced an upward price trend, boosted by several applications for spot bitcoin exchange-traded funds (ETFs) in the United States. Notably, asset management titan BlackRock has lodged an application, rejuvenating enthusiasm in the cryptocurrency arena.
Meanwhile, MicroStrategy’s first-quarter financial performance this year exhibited robust results. The firm recorded a net income of $461.2 million, a sharp turnaround from a net loss of $130.8 million in the same period the previous year and a net loss of $249.7 million in the final quarter of 2022.
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