MicroStrategy, the business intelligence firm led by Michael Saylor, has added another 7.002 bitcoins to its corporate balance sheet, with a new investment of $414,4 million.
The American business intelligence firm, MicroStrategy, continues to bet on Bitcoin (BTC), The cryptocurrency largest and most important cryptocurrency in the industry. Recently, MicroStrategy announced a new investment of $414,4 million to acquire more Bitcoin. In total, the business intelligence firm added another 7.002 bitcoins to its corporate balance sheet, which holds nearly $3.570 billion invested in the cryptocurrency. The new funds destined for the acquisition of Bitcoin come from the sale of 571.001 shares that the firm executed in the last two months.
MicroStrategy, led by pro-Bitcoin entrepreneur and business executive Michael Saylor, now owns 121.044 BTC, valued at $7.090 billion based on Bitcoin's current market price.
MicroStrategy acquired the new bitcoins at an average price of $59.187 per unit, Saylor said on Twitter. The company is taking advantage of the recent correction in the cryptocurrency's price to further grow its crypto investment portfolio.
This month, the price of Bitcoin has seen a correction of 5,6%. The market-leading cryptocurrency reached a new all-time high of $69.044 on November 10. At press time, it is trading near $XNUMX. $58.650 per BTC.
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MicroStrategy and its Bitcoin strategy
In August 2020, MicroStrategy announced its decision to invest its reserves and cash flows in Bitcoin as a new strategy to protect its long-term value. Saylor noted that the firm had been analyzing the opportunities offered by the cryptocurrency as an alternative to protect against the devaluation of the dollar and fiat currencies. Since then, the company has been investing in BTC as a store of value and protection against inflation.
In his presentation of corporate resultsIn its Q3 Q50 report, MicroStrategy demonstrated the effectiveness of its Bitcoin investment strategy. The firm has generated profits of over 29.534% on its BTC investment to date. As Saylor explained in his tweet, the BTC the firm has purchased was acquired at an average price of $51 per unit; while the cryptocurrency is currently trading XNUMX% above this value.
Leadership in the crypto community
Their strategy of acquiring and holding (HODL) Bitcoins' long-term investment has made MicroStrategy the largest institutional investor in the cryptocurrency, gaining recognition and leadership within the broader crypto community. With its constant investment, the company has confirmed its conviction and belief in BTC as a reliable store of value and as an attractive investment asset with great potential to appreciate over time.
However, despite the company's extraordinary gains from the cryptocurrency, some analysts consider its investment strategy too risky. MicroStrategy has issued around $2.150 billion in debt bonds and secured notes to increase its BTC holdings.
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