Microstrategy recently announced the acquisition of 301 bitcoins, giving the company a round figure of 130,000 bitcoins purchased. Michael Saylor said the purchase cost $6 million at an average price of $19,851 per coin.
At Glance
● Microstrategy, the worlds leading enterprise analytics platform rounded up its bitcoin holdings figure to 130,000 with the acquisition of 301 additional coins as of September 19, 2022.
● The company began acquiring bitcoin in August 2020, with a 21,454 bitcoin purchase.
● Microstrategy bitcoin holding as of September 20, 2022, is worth approximately $2,580,630,000, running on a negative as the company’s average purchase price is $30,639.
● Microstrategy has purchased in an average dollar equivalent, $3.98 billion worth of bitcoin meaning the company has currently lost more than $1.4 billion on its investment thus far.
Michael Saylor, founder, and executive chairman at Microstrategy made public to his Twitter followers the recent bitcoin acquisition made by the company totally up its balance sheet to 130,000 bitcoins in store.
Commenters reacted following the announcement, pointing to the nature of the company's bitcoin bet, losing over a billion dollars in the process, a figure rounded to a negative of 30-40% on capital.
Michael Saylor having down from being the company’s head months back to give more time to bitcoin, a strategy he explained would give the company more flexibility, a structure that will allow the company to post collateral even if bitcoin fell below $3,562.
Saylor has shown an undiminishing increase in bitcoin and has made several public statements expressing the value of the network in relation to the traditional system of finance.
Peter Schiff, Global Strategist: Europac and Founder of SchiffGold.com shared his opinion on Saylor’s bitcoin bet, saying the company has lost about 40% of its investment capital in bitcoin. Additionally, Peter pointed out that if the company were to sell off its holding, it would realize more losses.
At the time of writing, Microstrategy is the largest public company holding bitcoin on its balance sheet. Despite the critics of the network due to its volatile and unregulated nature, the cryptocurrency ecosystem grows every day with a total of 900,000 addresses holding 1 BTC and many more in millions holding a diverse number of bitcoin units.
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