MicroStrategy buys $2 billion worth of Bitcoin
MicroStrategy, the world's largest corporate holder of Bitcoin, made another major purchase last week as the crypto asset's price hovered around $80,000. According to a report filed with the U.S. Securities and Exchange Commission (SEC), the company purchased 24,869 Bitcoin for $2.01 billion between May 11 and May 17. This is reported by Cointelegraph.com reports .
The purchases were made at an average price of $80,985, raising the company's average cost basis for Bitcoin to $75,700. Currently, MicroStrategy holds a total of 843,738 Bitcoin on its balance sheet, for which the company has spent approximately $63.87 billion. According to CoinGecko, the current market value of these assets is $65.3 billion.
The company primarily used proceeds from the sale of its preferred shares to fund this acquisition. Specifically, $1.95 billion was raised through the sale of STRC shares, and $83.7 million through the sale of MSTR common stock. This strategy was executed in a manner similar to the company's previous major acquisitions this year.
MicroStrategy founder Michael Saylor had previously emphasized that the company would continue to increase its Bitcoin reserves. Having purchased Bitcoin 109 times since 2020, the company has now surpassed BlackRock, the world's largest asset manager. BlackRock holds approximately 817,000 Bitcoin on behalf of its clients.
