December 3, 2024

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Microstrategy Buys $1.5B of Bitcoin

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    Microstrategy entity on Arkham
    Microstrategy entity on Arkham

    Microstrategy purchases another 15,400 BTC at an average price of $95,976 per Bitcoin, totalling $1.5B. This is the latest in a string of purchases across the last four weeks, in which a total of 134,480 BTC was acquired for ~$12.03B. The recent purchases bring Microstrategy’s BTC reserves to 402,100 BTC or $38.4B worth. Their current holdings form just under 2% of the Bitcoin total supply of 21M.

    Visualising Microstrategy’s BTC transfers
    Visualising Microstrategy’s BTC transfers

    In late October this year during their Q3 earnings call, Microstrategy announced an ambitious plan to raise $42B in capital over the upcoming three years for the purpose of acquiring more BTC. The plan aims for $21B in equity raises and another $21B in debt offerings to finance the purchases. With the recent $12B in purchases, or almost 30% of the $42B amount, speculators believe that the plan could potentially have been front-loaded in anticipation of higher Bitcoin prices in the near future.

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