Prominent Bitcoin development company MicroStrategy has added another 27,200 Bitcoins to its balance sheet, acquiring the cryptocurrency for approximately $2.03 billion at an average price of $74,463 per coin. This latest purchase brings MicroStrategy’s total Bitcoin holdings to 279,420 BTC, valued at $22.87 billion as of November 11th.
MicroStrategy’s founder, Michael Saylor, announced the news in a tweet, stating that the company has achieved a Bitcoin yield of 7.3% quarter-to-date and 26.4% year-to-date on its holdings. Saylor further commented that MicroStrategy now “hodls” $11.9 billion worth of Bitcoin acquired at an average price of $42,692 per coin.
This strategic move comes as Bitcoin (BTC) hits new milestones, briefly surpassing $82,000 on Monday, driven by growing optimism surrounding the digital asset, particularly following Donald Trump’s presidential election victory. MicroStrategy’s stock saw a significant boost, rising 10.78% in premarket trading on the Nasdaq in response to its latest Bitcoin acquisition announcement.
According to data from SaylorTracker, this marks MicroStrategy’s 43rd Bitcoin acquisition since the company first began investing in the cryptocurrency in August 2020. The firm has spent $11.9 billion to amass its substantial Bitcoin treasury, which has generated over $10.7 billion in gains, a return of 107%.
“I think SaylorTracker needs more green dots,” Saylor joked, referring to the visual representation of MicroStrategy’s growing Bitcoin position.
Notably, the Virginia-based firm remains the largest corporate holder of Bitcoin, surpassing other major investors like the Bitcoin miners Marathon Digital Holdings and Riot Blockchain. Recently, more private companies have also embraced Bitcoin as part of their portfolios, with firms like Metaplanet surpassing 500 BTC as of early October, further highlighting the growing institutional interest in the crypto asset.
Notably, MicroStrategy’s BTC acquisition spree is part of the company’s broader “21/21 Plan” unveiled in its Q3 2024 financial results. The plan aims to raise $42 billion over the next three years through a combination of equity and debt to further expand the firm’s Bitcoin treasury.
In Q3 2024, MicroStrategy reported a net loss of $340.2 million, driven primarily by $412.1 million in digital asset impairment charges. However, the company’s revenue of $116.1 million was only slightly below analyst expectations.
That said, Michael Saylor, a vocal Bitcoin proponent, has repeatedly stated his intention to transform MicroStrategy into a “Bitcoin bank” with a market capitalization of $1 trillion. The company’s stock has already soared just over 500% in the past 12 months, far outpacing the 119.78% gain in the price of Bitcoin during the same period.