Bought The Bitcoin Dip? MicroStrategy Announces Another $650 Million Buy
Describing itself as the “largest independent publicly-traded business intelligence company,” MicroStrategy has made good on its word to purchase more bitcoins. The company announced earlier today the purchase of 29,646 more BTC for approximately $650 million.
- MicroStrategy’s founder and CEO, Michael Saylor, announced the latest BTC purchase earlier today. Following the firm’s recently instituted Treasury Reserve Policy, the company allocated another $650 million in bitcoin with an average price of $21,925.
- Keeping in mind the previous BTC purchases, the company’s total holdings have grown to 70,470 bitcoins – over 0.335% of the 21 million coins ever to exist.
- The business intelligence giant has now allocated $1.125 billion in BTC at an average price of $15,964 per coin.
- It’s worth noting that MicroStrategy raised $650 million via senior convertible notes offering last week and asserted that it will use the funds to buy BTC.
- CryptoPotato also reported recently that the company instituted a new Treasury Reserve Policy that placed Bitcoin as the primary treasury reserve asset. Saylor acknowledged this in his statement, saying that the latest BTC purchase operated in accordance with the policy.
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“The acquisition of additional bitcoins announced today reaffirms our belief that bitcoin, as the world’s most widely-adopted cryptocurrency, is a dependable store of value.” – reads the announcement.
- Interestingly, the price of BTC plummeted today and briefly dipped beneath $22,000. As such, MicroStrategy could have taken advantage of that opportunity to “buy the dip.” Nevertheless, this is still unconfirmed as similar large transactions typically take more time to process. One of the company’s previous purchases of $250 million, which was facilitated by Coinbase, for example, took 5 days.
- Despite the uncertainty, though, MicroStrategy’s announcement seems to have impacted BTC’s price as the asset pumped by nearly $1,000 in minutes.
