MicroStrategy has now spent more than $420 million on Bitcoin this quarter as it continues to invest.
Corporate Bitcoin Whale, MicroStrategy, has announced another massive purchase of Bitcoin on Monday. According to a tweet from MicroStrategy CEO Michael Saylor, “MicroStrategy has purchased an additional 5,050 bitcoins for ~$242.9 million in cash at an average price of ~$48,099 per #bitcoin.” The purchase brings the business intelligence company’s total bitcoin holdings to more than 114,000, around $3.15 billion worth at an average purchase price of $27,713.
An 8-K filing with the Securities and Exchange Commission (SEC) gave some further information about the purchase, including that MicroStrategy has added nearly 9,000 BTC to its corporate treasury so far in Q3 2021. During a period between July 1 and September 12, the company spent around $419.9 million in cash on bitcoin. The coins were purchased for an
average price of $46,875, including all fees and expenses. The filing goes on to say that as of September 12, “the Company held approximately 114,042 bitcoins that were acquired at an aggregate purchase price of approximately $3.16 billion and an average purchase price of approximately $27,713 per bitcoin, inclusive of fees and expenses.” The filing adds that the company has entered into an Open Market sale Agreement with Jefferies LLC, “as agent (“Jefferies”), pursuant to which the Company may issue and sell shares of its class A common stock, par value $0.001 per share.” Between July 1, 2021, and September 12, 2021, MicroStrategy has sold $555,179 shares under the agreement with an average gross price per share of $727.64. MicroStrategy saw net proceeds of around $400 million from the sales.
MicroStrategy continues to add BTC to treasury
Previously, MicroStrategy had purchased 3,907 bitcoins in late August using proceeds from ATM facility sales. The company now has more than twice the amount of bitcoin as any other publicly traded company in the world. Tesla remains a not-so-close second with around 42,000 bitcoin held compared to MicroStrategy’s 114,000. This most recent addition of bitcoin is an indication that the company’s intention to stockpile bitcoin has not slowed down. Despite losses on paper during Q2, MicroStrategy is not veering from its path. The purchase on Monday comes at a time when the price of bitcoin is sliding, down more than 4% in the last 24-hours to $44,168.