MicroStrategy’s Bitcoin holdings now worth $783 million
- 7th December 2020
- Posted by: Hakeem
- Category: Crypto
Michael Saylor, the CEO of publicly listed American business analytics firm, MicroStrategy, has announced the company’s latest Bitcoin holdings via his Twitter Feed.
“MicroStrategy has purchased approximately 2,574 bitcoins for $50.0 million in cash in accordance with its Treasury Reserve Policy, at an average price of approximately $19,427 per bitcoin. We now hold approximately 40,824 bitcoins, ” Saylor tweeted.
MicroStrategy and Bitcoin
- At the time of writing this report, bitcoin traded at $19,289.09. With a daily trading volume estimated at $25 billion, the cryptocurrency has been up 0.67% in the last 24 hours.
- It remains the most valuable crypto by market value, with a market capitalization of $358 billion. It has a circulating supply of 18,564,306 BTC coins and a maximum supply of 21,000,000 BTC coins.
- Prior to these purchases, Saylor had made major headlines when he persuaded his board to allocate nearly all of MicroStrategy’s $425 million cash position to bitcoin.
- The company has made a number of headlines in recent times for its initial $250 million Bitcoin (BTC) investment. It later poured a subsequent $175 million into the asset – a lengthy endeavour totalling almost 100 hours of work.
- After buying more than $425 million worth of bitcoin, the business analytic company bought more bitcoin worth $50 million as part of the company’s capital allocation strategy.
What you should know
Bigwig FX, revealed a few months back, how MicroStrategy adopted Bitcoin as a treasury reserve asset to hedge against fiat inflation. This is a big deal and it’s good to see BTC’s being used as intended – a hard money/savings instrument.
“Our investment in Bitcoin is part of our new capital allocation strategy, which seeks to maximize long-term value for our shareholders,” said Michael Saylor.
“This investment reflects our belief that Bitcoin, as the world’s most widely-adopted cryptocurrency, is a dependable store of value and an attractive investment asset with more long-term appreciation potential than holding cash,” he added.