On September 20, 2024, MicroStrategy, led by Executive Chairman Michael Saylor, announced the acquisition of 7,420 additional Bitcoin, valued at approximately $489 million. With this purchase, the business intelligence firm now holds a total of 252,220 Bitcoin, acquired for a cumulative $9.9 billion, with the current market value exceeding $16 billion.

MicroStrategy has been at the forefront of corporate Bitcoin adoption since 2020, implementing a strategy to use it as a hedge against inflation and a store of value. Saylor and the company have consistently used debt issuance to fund their Bitcoin purchases. This latest acquisition follows the company’s recent upsizing of a convertible note offering from $700 million to $1.01 billion, which was specifically used to purchase more Bitcoin.

"Our strategy is to continue acquiring Bitcoin with the intent to hold, given its potential as the leading global digital store of value," said Saylor, highlighting the company’s long-term confidence in Bitcoin's future.

MicroStrategy's continued expansion into Bitcoin is viewed as a speculative challenge against fiat currency, seeking to capitalize on Bitcoin’s resilience and scarcity. The company has pioneered the use of corporate treasuries to invest in Bitcoin, with other public companies, such as Semler Scientific and Marathon Digital, now following suit.

Despite MicroStrategy’s ambitious Bitcoin acquisition strategy, the company’s stock was down 1.5% following the announcement, amid a broader market slide affecting both equities and Bitcoin prices.

This latest purchase further solidifies MicroStrategy’s position as the largest corporate holder of Bitcoin, with its strategy likely to influence continued corporate interest and adoption in the Bitcoin market. Looking ahead, the company still has approximately $889 million in capital available from prior equity issuances to continue its Bitcoin buying spree.

Bitcoin Magazine Article

MicroStrategy Press Release