Microsrategy's Bitcoin Strategy Leads to Significant Q3 Gains
By: Isha Das
MicroStrategy, a prominent business intelligence company renowned for its aggressive Bitcoin investment approach, recently disclosed an impressive $3.9 billion unrealized gain in the third quarter of 2025. This surge in value is attributed to Bitcoin's soaring price, which now exceeds $125,000 per BTC. Consequently, MicroStrategy's total Bitcoin holdings have bolstered the company's market valuation to ascend to the 106th position among the largest U.S. public firms, surpassing Coinbase.
As of October 6, MicroStrategy's Bitcoin assets, which consist of 640,031 BTC, were acquired at an aggregate cost of $47.35 billion, with an average price point of $73,983 per BTC. This holding has catapulted the company's portfolio value to approximately $80.26 billion. Despite the considerable appreciation, MicroStrategy co-founder Michael Saylor announced a pause in their Bitcoin acquisition streak, diverging from the company's strategy of purchasing more BTC at high price points. Instead, the focus has shifted to underscoring the returns from their existing Bitcoin investments.
During the third quarter, although MicroStrategy abstained from further Bitcoin purchases, it previously acquired 42,706 BTC for $4.95 billion. The purchase funded through various equity offerings, including class A common stock and multiple preferred stock programs, underscores the company's strategic investment maneuver. Furthermore, the reported unrealized gain was coupled with a deferred tax expense of $1.12 billion.
Notwithstanding the lucrative gain, MicroStrategy is also managing its liabilities. As of September 30, it holds $8.24 billion in outstanding indebtedness, substantially in convertible notes with varying maturities between 2028 and 2032. Additionally, the company's annual obligations in terms of interest and dividends are $36.8 million and $638.7 million, respectively. These details reveal MicroStrategy's calculated financial balancing act amid its significant digital asset investments.
