MicroStrategy CEO Michael Saylor revealed on September 20 that the company has purchased an additional 7,420 bitcoins for around $489 million, bringing their total holdings to over 252,000 bitcoins acquired for $9.9 billion.
BREAKING: MicroStrategy buys another 7,420 #Bitcoin for $458.2 million. pic.com/4nBm3EUH6M
— Bitcoin Magazine (@BitcoinMagazine) September 20, 2024
Embracing a corporate strategy centered around Bitcoin since 2020, MicroStrategy aims to leverage Bitcoin as an inflation hedge and store of value, resulting in significant shareholder value appreciation.
By issuing convertible senior notes to secure funds for Bitcoin acquisitions, MicroStrategy recently raised over $1 billion through note offerings to bolster its Bitcoin purchases. This approach has inspired other public companies to adopt a similar “buy Bitcoin” corporate strategy to capitalize on Bitcoin’s growth potential.
MicroStrategy’s continuous Bitcoin treasury acquisitions can be likened to a large-scale “speculative attack” against fiat currencies. By exchanging fiat for the scarce digital asset when it is undervalued, the company stands to benefit substantially if Bitcoin retains its trajectory as a global digital store of value.
In adding the most resilient asset to its treasury, MicroStrategy is undertaking the most significant speculative challenge against fiat currency in history. As other public companies follow suit by integrating Bitcoin treasury strategies and accumulating Bitcoin on their balance sheets, a trend towards wider adoption of this approach is evident.
To summarize, MicroStrategy’s strategic accumulation of Bitcoin underscores its commitment to harnessing the potential of this digital asset class for long-term value creation. As more companies explore similar strategies, the adoption of Bitcoin as a corporate treasury asset continues to grow, signaling a broader shift towards embracing disruptive financial technologies.
