- Business intelligence and mobile software firm MicroStrategy, has reportedly acquired 16,796 Bitcoin on Monday
- The company has purchased a total of 38,250 bitcoins at an aggregate purchase price of $425 million
- The company’s board of directors giving the briefing to the SEC said that Bitcoin serves as the firm’s primary treasury reserve asset on an ongoing basis
Business intelligence and mobile software firm MicroStrategy, has reportedly acquired 16,796 Bitcoin on Monday showcasing its intent on investing heavily in cryptocurrencies. Announcing the details of the acquisition, the NASDAQ-listed firm MicroStrategy’s founder & CEO Michael Saylor tweeted that they have purchased them at an aggregate purchase price of $175 million. The news comes exactly one month later to its purchase of 21,454 bitcoins at an aggregate purchase price of $250 million, inclusive of fees and expenses.
With the latest acquisition, the company has purchased a total of 38,250 bitcoins at an aggregate purchase price of $425 million. Saylor further added that the firm’s decision to invest in Bitcoin was largely driven by the convergence of several macro factors that are affecting the business, economic and health landscape of the world right now. Saylor was of the view that the Covid-19 pandemic coupled with the depreciating value of fiat and the unprecedented government financial stimulus measures has been some of the reasons behind the move.
MicroStrategy, which has a 30-year history of coming up innovative means and technology trends, is also a pioneer in Relational Analytics, Web Intelligence etc. When quizzed about what makes the firm a standout, Saylor opined that their global acceptance, brand recognition, ecosystem vitality, network dominance is some of features that makes them stand apart from their competitors. He further views Bitcoin as digital gold, the one which is smarter than any money that has preceded it. Saylor expects its value to accrete once the adoption reaches its full circle.
The company’s board of directors giving the briefing to the SEC said that Bitcoin serves as the firm’s primary treasury reserve asset on an ongoing basis. Post the acquisition, MicroStrategy’s stocks have taken an upward swing and after Wall Street opened, its stock surged from 3.5% to $147.
On a year-to-date scale, the company’s shares peaked at above $150 in February before plummeting to $90 during the COVID-19-enticed crisis. With today’s increase, MSTR is nearing its highest yearly point.
BTC has been rallying as it broke the USD 10,779 at the time of writing after growth of 1% and it shows promising signs of another eventful day. The altcoins market, however, had a rather dull day as the numbers inching more towards the red mark. Ethereum (ETH) remained the most affected one of the cryptos as its price plummeted at USD 365, after a fall of just less than 5%.
Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.