MicroStrategy Expands Bitcoin Holdings

Business intelligence firm and corporate bitcoin holder MicroStrategy acquired an additional 51,780 BTC for approximately $4.6 billion at an average price of $88,627 per bitcoin between Nov. 11 and Nov. 17, according to an 8-K filing with the Securities and Exchange Commission on Monday.

This acquisition represents the company's largest to date and follows a sale of 13,593,865 MicroStrategy shares to fund the transactions. As of Nov. 17, the company reported about $15.3 billion worth of shares still available for sale as part of its planned $21 billion equity offering and $21 billion in fixed income securities, targeting a total capital raise of $42 billion over the next three years for further bitcoin acquisitions.

MicroStrategy now holds 331,200 BTC, worth roughly $29.7 billion. The total holdings were bought at an average price of $49,874 per bitcoin, costing around $16.5 billion, including fees and expenses, according to co-founder and executive chairman Michael Saylor.

This latest announcement follows last Monday’s news of acquiring approximately 27,200 bitcoin for roughly $2.03 billion at an average estimated price of $74,463 per coin, including fees and expenses.

The company utilizes a key performance indicator called “Bitcoin Yield” to measure the percentage change in its bitcoin holdings relative to diluted shares. As of Nov. 17, the firm’s year-to-date Bitcoin Yield stands at 41.8%, reflecting significant growth in holdings while balancing share dilution amid the company’s strategy of efficiently acquiring bitcoin to benefit shareholders.