Last year there were many companies taking a first look at crypto land, but there was none only company that has invested more in a single cryptocurrency than MicroStrategy. Now that gap is getting even bigger, because the company has again Bitcoin (BTC) bbought.
MicroStrategy is buying bitcoin again
MicroStrategy states on its website proud to investors that it bought an additional 1,045 bitcoins. This brings the counter to 140,000 BTC – more than any public company. At the time of writing, the bitcoin price is just over 26,000 euros, making the investment worth more than 3.6 billion euros.
Investors in MicroStrategy’s stock (ticker: MSTR) are also happy with the company at the moment. The stock is already up about 117% since the beginning of this year, while the BTC price is up 73% when measured in dollars.
According to MicroStrategy’s founder, until recently CEO and current CEO Michael Saylor, the company purchased the coins at an average price of $28,016. That means the position cost $23.9 million.
On March 27, the company announced that it had bought 6,455 BTC in the previous five weeks. In addition, it then paid off a $ 205 million loan it had taken out in 2022 with the now bankrupt Silvergate Bank.
Lose MicroStrategy already a lot smaller
According to Bitcoin Treasuries the American software company now makes a loss of 5% on its holdings. Still, this is a lot less than halfway through last year. By then, the price had fallen so much that even MicroStrategy had an unrealized loss of 30%, despite Saylor having started buying relatively early in 2020.
Because the price had dropped enormously at the time, there was a fear that the company would receive margin calls because it used bitcoins as collateral for loans. That has not yet happened. This data also shows that it does not have 140,000 BTC, but 138,955. So the official number may not be entirely correct.
