MicroStrategy Expands Bitcoin Holdings to Over 500,000 BTC
By: Isha Das
In a significant move within the cryptocurrency landscape, MicroStrategy, now known as Strategy, has expanded its Bitcoin holdings to a remarkable total of 506,137 BTC, following its recent acquisition. This expansion represents a substantial investment totaling approximately $33.7 billion at an average purchase cost of $66,608 per coin. According to the latest filing with the U.S. Securities and Exchange Commission (SEC), the company acquired an additional 6,911 bitcoins, spending $584.1 million, which brings its aggregate bitcoin purchase total to over half a million coins.
This aggressive investment strategy places MicroStrategy as the indisputable largest corporate holder of bitcoin, accounting for about 2.55% of the 19.8 million bitcoins currently in circulation. Notably, this substantial accumulation compares significantly to the roughly 1.1 million BTC held by the combined U.S. spot bitcoin exchange-traded funds (ETFs). Additionally, MicroStrategy's holdings stand out as it nears the estimated holdings of Bitcoin’s mysterious creator, Satoshi Nakamoto, who is believed to own around 1.1 million BTC.
The strategic investment by MicroStrategy coincides with a renewed wave of institutional interest and the potential for increased inflows into exchange-traded funds (ETFs) dedicated to cryptocurrencies. CEO Michael Saylor's vision and advocacy for the use of Bitcoin as a primary treasury asset appear to be vindicated by the firm’s significant unrealized profit, estimated to exceed $10 billion, given current market prices. This bold move may encourage other firms to reconsider their treasury asset strategies in light of MicroStrategy's compelling results.
MicroStrategy’s latest acquisition signals confidence in Bitcoin’s future and asserts its leading role in the corporate adoption of digital assets. As the company continues to grow its Bitcoin reserves, the crypto world watches closely for its next steps and the continuing impact of its strategy on other potential institutional investors.
