MicroStrategy has once again demonstrated its unwavering commitment to Bitcoin, acquiring 15,350 BTC for approximately $1.5 billion between December 9 and 15, further solidifying its position as the largest corporate Bitcoin holder in the world.
The latest purchase brings the company’s total Bitcoin holdings to an impressive 439,000 BTC, valued at over $45 billion. This significant acquisition was funded through the sale of 3,884,712 Class A shares, continuing the company’s strategic approach to Bitcoin investment.
A Consistent Investment Strategy
Since its first Bitcoin purchase, MicroStrategy has invested a total of $27.1 billion, with an average purchase price of $61,725 per coin. The company’s recent buying spree is particularly noteworthy, with $17.5 billion worth of Bitcoin added in just the past six weeks—representing 39% of its total holdings.
Executive Chairman Michael Saylor remains supremely confident in the company’s strategy, boldly stating his belief that he will eventually be “buying Bitcoin at $1 million a coin.” This conviction has translated into a remarkable 72.4% year-to-date Bitcoin Yield as of December 15.
Market Recognition and Upcoming Milestones
The market has taken notice of MicroStrategy’s bold moves. On December 14, Nasdaq announced the company’s inclusion in the Nasdaq 100 Index, effective December 23. This milestone is expected to attract significant institutional investment, with Bloomberg analyst James Seyffart estimating at least $2.1 billion in potential share purchases through exchange-traded funds like QQQ.
The company’s stock performance reflects this growing confidence, surging more than 490% in 2023 and closing at $408.67 last Friday. The market capitalization has now reached $92 billion, with the stock trading at a premium to its Bitcoin net asset value.
Future Prospects and Industry Impact
Analysts from Bernstein are optimistic about MicroStrategy’s strategy. They note that the company’s leverage remains manageable at just 18% of its Bitcoin net asset value, leaving room for potential future debt issuance and additional purchases.
Upcoming accounting rule changes in 2025 could further boost the company’s prospects. The new regulations will allow companies to report gains when Bitcoin prices increase, potentially improving financial visibility and increasing the likelihood of qualifying for the S&P 500 Index.
Currently, MicroStrategy controls approximately 2.1% of Bitcoin’s total 21 million supply. While some investors remain skeptical about the long-term sustainability of this approach, the company continues to be closely watched as a benchmark for institutional Bitcoin adoption.
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With Bitcoin recently hitting $107,000 and MicroStrategy’s stock gaining momentum, the company appears to be riding a wave of growing institutional interest in cryptocurrency. As the digital asset landscape continues to evolve, MicroStrategy’s bold strategy positions it at the forefront of this financial transformation.
