MicroStrategy Acquires $1.5 Billion in Bitcoin, Expands Holdings to 400,000 BTC

MicroStrategy, a well-known software company, made waves again with another significant purchase of Bitcoin. It announced that it acquired approximately 15,400 BTC for $1.5 billion from November 25 to December 1, 2024.

In its announcement, the company highlighted that it purchased these Bitcoins at an average price of around $95,976 each. With this latest acquisition, MicroStrategy now holds a total of about 402,100 BTC, valued at approximately $39 billion based on current market prices.

Bitcoins are currently trading at about $97,000, according to market data from CoinGecko. In addition to its substantial crypto holdings, MicroStrategy also reported impressive returns from its Bitcoin investments, achieving a yield of 38.7% in the quarter and 63.3% year-to-date.

Taking a unique approach to cryptocurrency investment, MicroStrategy allows investors to gain indirect exposure to Bitcoin by purchasing its publicly traded shares on the Nasdaq stock exchange. This strategy was primarily conceived by co-founder and Executive Chairman Michael Saylor, who has been vocal about Bitcoin's potential as a store of value since the company made its first Bitcoin purchase in August 2020.

Saylor firmly believes that Bitcoin presents the best opportunity for businesses to maximize returns for shareholders. He argues that due to Bitcoin's limited supply, the digital currency appreciates more than traditional investments over time. "Whoever gets the most Bitcoin wins," he stated in a prior interview.

The momentum behind MicroStrategy's stock (NASDAQ: MSTR) has also been impressive. Following its initial Bitcoin purchases, the stock price surged from below $15 per share to over $389, with recent trading reaching an all-time high.

As part of its ongoing strategy, MicroStrategy has committed to continue purchasing Bitcoin and recently announced plans to raise an additional $42 billion for further investments. This follows a pattern of aggressive accumulation that the company has maintained since 2020, especially in response to Bitcoin's rising price.

Edited by a financial expertMicroStrategy, Bitcoin, Investment