When it comes to Bitcoin, MicroStrategy is looking for more. It does so after buying over 20,000 BTC in the first quarter of the year at an average cost of around $ 52,000 (with a total cost of more than $ 1 billion). Now the business intelligence firm, headed by Bitcoin attorney Michael Saylor, is expanding its position.
The macro MicroStrategy
Saylor announced on Twitter today that the company bought an additional 271 BTC at a cost of $ 55,387 per coin. He also noted that to date the company holds a total of over 90,000 BTC, with an average of just over $ 24,000 per coin. Also included in the Twitter post is the company 8-K, which refers to the purchase.
In a first quarter press release, the company stated, “The first quarter results were a clear example of our two-pronged corporate strategy to grow our enterprise analytics software business and acquire and hold bitcoin, which generates significant shareholder value.” Buying the company seems to confirm this position from a few months ago.
The news follows Elon Musk, CEO of Tesla, who has stopped paying Bitcoin payments for vehicle purchases, citing environmental concerns.
Related reading | $ 425 billion wiped off the crypto market as Musk says bitcoin is bad for the environment
who is who
MicroStrategy ($ MSTR) is the largest independent publicly traded business intelligence company in the United States. The product is used by various Fortune 500 companies. The recent 8K and earlier Bitcoin purchases aren’t the first time MicroStrategy has integrated crypto into the deal. Just last month the company released an 8-K announcing the decision to pay its board of directors in Bitcoin.
Saylor was an outspoken proponent of crypto and last year led MicroStrategy to become the first publicly traded company to change its corporate strategy when it introduced Bitcoin. Only 32 publicly traded companies out of 40,000 in the market have Bitcoin on their balance sheets. MicroStrategy is the largest publicly traded BTC owner to date. The company’s shares were down nearly 10% that day.
MicroStrategy saw revenue jump 10% and product licenses and subscription revenues by over 50% in the first quarter.
MicroStrategy continues to look to "buy the dip" | Source: BTC-USD on TradingView.com
The crypto belief
As if the publicly available business decisions weren’t enough, Saylor’s statements about crypto by and large will say something about the company’s optimistic outlook. Just yesterday, Saylor described Bitcoin as “the most powerful and disruptive technology of our life”. In addition, Saylor hosted a “Bitcoin for Corporations” conference in February. Saylor often speaks of the “Bitcoin Standard” to help struggling countries revitalize their economies.
Given that Saylor continues to be a proponent of crypto, and even says the likelihood of Bitcoin being replaced is “zero,” it seems that MicroStrategy’s involvement in this area will continue over the coming quarters.
Related reading | Crypto Analyst Claims MicroStrategy Is “On The Ropes” Amid Bitcoin Selloff
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