MicroStrategy has bought $15 million worth of bitcoin (BTC) on May 13. They purchased 271 coins at an average price of $55,387.
CEO Michael Saylor bought at the dip, after the knock BTC took in the wake of Elon Musk tweeting that Tesla will no longer accept bitcoin for purchases, due to the rate of energy consumption when mining cryptocurrencies.
Saylor explained that Musk’s decision was “ironic because no incremental energy is used in a bitcoin transaction.”
It wouldn’t be the first time Saylor has put his money where his mouth is. He said he believes that BTC will replace gold as a safe haven asset and that BTC replace stock indices such as that S&P 500 and Dow. This came after MicroStrategy bought $10 million of BTC in January.
The company’s approach to bitcoin
As part of MicroStrategy’s bitcoin plan, they bought 20,857 bitcoins in Q1 of 2021. They purchased the coins for $1.086 billion, at an average purchase price of $52,087 per BTC.
“MicroStrategy’s first-quarter results were a clear example [of] our two-pronged corporate strategy,” they said in a release. “To grow our enterprise analytics software business and acquire and hold bitcoin [which] is generating substantial shareholder value.”
At the time, Saylor spoke about the company’s approach to bitcoin saying, “We continue to be pleased with our bitcoin strategy.” Saylor elaborated, claiming that the company raised over $1 billion in additional capital during the first quarter. It used this money to expand its holdings.
MicroStrategy is the largest independent publicly-traded business intelligence company. Saylor’s company provides modern analytics on an open, comprehensive enterprise platform used by many of the world’s most admired brands in the Fortune Global 500.