Strategy Acquires 4,020 BTC for $427M 💰
Strategy, previously known as MicroStrategy, bought 4,020 bitcoins last week, spending around $427.1 million at an average price of $106,237 each. This acquisition increased their total holdings to 580,250 BTC, with an overall cost of $40.61 billion, averaging $69,979 per bitcoin. The company, co-founded by Michael Saylor, now controls 3% of the total bitcoin supply and enjoys paper gains of $22.7 billion. Strategy funded this by selling various stocks, including MSTR, STRK, and STRF. Recent sales brought Strategy substantial proceeds to reinvest in bitcoin. Over the weekend, Saylor indicated further acquisitions were planned, emphasizing a strategy of investing funds they can afford to lose. The firm's consistent BTC purchases have correlated with bitcoin's increasing value. More companies are following their model by creating their bitcoin treasuries, which analysts predict could add $330 billion to the market cap in five years.
FAQ
❓ How did Strategy fund its recent Bitcoin purchase?
Strategy funded its recent Bitcoin acquisition by selling shares of MSTR, STRK, and STRF.
❓ What is the significance of Strategy's Bitcoin holdings?
Strategy's holdings, now at 580,250 BTC, represent 3% of bitcoin's total supply, highlighting their significant influence in the market.
❓ Are other companies adopting Strategy's model?
Yes, over 70 entities have now implemented similar bitcoin treasury strategies, potentially adding $330 billion to the market.