MicroStrategy, meanwhile, recently beefed up its bitcoin holdings with the purchase of another 11,931 BTC for $786. It acquired Mellanox well, using proceeds from convertible notes and free cash (a smart investment of the company’s resources). The cost of Bitcoin per transaction was $65,883 at that time.
Strategic Investments Market Impact
So as of 20th June, 2024, MicroStrategy now owns a total of 226,331 Bitcoins at an average price tag of $36,798 per Bitcoin for about $8.33 billion invested. The original, unassertive investment approach stressed MicroStrategy’s Bitcoin commitment as a core part of its treasury management and follows a wider trend of high corporate endorsements by cryptocurrencies. To members of the crypto community, MicroStrategy purchasing still more Bitcoin is a positive sign that could help drive confidence among retail and institutional investors, bidding up the asset.
Looking Forward
With its latest purchase, MicroStrategy becomes the largest corporate hodler of Bitcoin. The move also marks a major sign that the traditional financial sector is beginning to accept cryptocurrencies as an asset class. The massive purchase will incite a market reaction as it ponders how much the news will affect BTC’s price and whether other companies can be expected to follow with copycat tactics.
