MicroStrategy, the world’s largest business intelligence firm, announced that it has acquired 19,452 Bitcoin recently, which is worth more than $1 billion in cash at an average price of $52,765 per BTC including fees and other expenses.
According to the official announcement, the company now has a total of 90,531 Bitcoin with a total worth of more than $4.5 billion. MicroStrategy’s average purchase price for its Bitcoin holdings stands at around $23,985 per BTC.
MicroStrategy has accelerated its Bitcoin purchase in the last few months. The company acquired 29,646 BTC in December 2020 at an average price of $21,925.
Commenting on the recent purchase, Michael Saylor, CEO of MicroStrategy, said: “The Company remains focused on our two corporate strategies of growing our enterprise analytics software business and acquiring and holding bitcoin. The company now holds over 90,000 BTC, reaffirming our belief that bitcoin can serve as a dependable store of value. We will continue to pursue our strategy of acquiring BTC with excess cash, and we may from time to time, subject to market conditions, issue debt or equity securities in capital raising transactions with the objective of using the proceeds to purchase additional bitcoin.”
Institutional Bitcoin Holdings
MicroStrategy is one of the largest institutional holders of Bitcoin along with Grayscale and Square. FortuneZ earlier reported that Square purchased $170 million worth of BTC this week. Institutional demand is driving the price of the world’s largest cryptocurrency. Despite the recent $200 billion sell-off in the crypto market, the price of BTC is still up more than 70% since the start of 2021. MicroStrategy’s CEO Michael Saylor remained supportive of BTC and other digital assets. During an interview with Yahoo Finance, he said that Bitcoin has emerged as the institutional safe-haven asset.
“Bitcoin is engineered to convert your balance sheet from a liability to an asset. It’s a million times better than gold, it moves at the speed of light, more than 100 million people are using it now & approaching 1 billion users in five years, with millennials leading the way,” Saylor said.