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- 1 Michael Saylor, the co-founder of MicroStrategy confirmed that the company will continue adding Bitcoin (BTC) to the balance sheet.
- 2 MicroStrategy, one of the largest and independent business intelligence companies is ready to offer a way to offer exposure to BTC.
Bitcoin, the oldest and most popular cryptocurrency, is about to expand its roots in every business sector, mainly in finance and technology. MicroStrategy, one of the leading analytics platforms, showed an unbeatable interest in the oldest currency and announced to continuously add Bitcoin to the balance sheet. The announcement was made by the CEO, Michael Saylor on August 2, 2023.
But why is Saylor so interested in the particular digital currency? What are his plans with Bitcoin? These are some questions revolving in the mind after hearing the news. Let’s identify the main reason behind the announcement.
Why is Saylor so confident About Bitcoin?
Saylor, on August 2, confirmed that MicroStrategy is not going to stop its investment in Bitcoin even after knowing that Spot Bitcoin ETF could affect the firm’s performance. He compared Microstrategy with Sportscar and Spot ETF with Supertanker when it comes to offering BTC exposure to investors. The approval chances of spot Bitcoin ETF in the US is around 65% as per the analysts. Saylor announced that the firm is about to sell its shares worth $750 Million to add Bitcoin to the firm’s balance sheet. The main motive behind the plan is to offer exposure to Bitcoin to make the services easy for investors. Even after understanding how an approved spot Bitcoin ETF could affect the firm’s performance, Saylor is much more confident about the decision.
“MicroStrategy has the potential to offer something more effective and valuable than spot Bitcoin ETFs”, stated Michael Saylor. He also added that spot Bitcoin ETFs would permit large hedge funds & sovereigns to come into the game with billions of dollars. MicroStrategy and Michael Saylor have been in the spotlight since 1st August when Saylor announced its Bitcoin operating strategy. The CEO announced selling its $750 Million stocks to buy Bitcoin, and the statement simply hiked the prices of Bitcoin in a few hours. Focusing on the relationship of MicroStrategy with Bitcoin, the firm made its first purchase of Bitcoin in August 2020 and holds around 152,800 BTC worth $4.5 Billion at present. The first Bitcoin purchase by MicroStrategy simply boomed the value of BTC up to 145%.
How the Announcement Influenced Bitcoin’s Value?
The announcement of Saylor suddenly boomed the prices of BTC in the crypto landscape. The current price of BTC is $29,065 with a market cap of $565 Billion and a total volume of $15 Billion in the past 24 hours. A fall of 1.71% is observed in BTC in the last 24 hours.
Individuals wishing to buy BTC at the current price can visit crypto exchanges like Binance, Deepcoin, Bybit, and Bitrue. Also, the value of BTC is predicted to achieve new lines in the near future, making it one of the strongest players in the Crypto landscape.
Conclusion
Michael Saylor announced to continue investing in the Bitcoin course even if spot ETF is approved. The company is about to sell its stocks worth $750 Million to purchase Bitcoin in order to offer exposure to Bitcoin as well as to offer something more valuable than spot Bitcoin ETF.
Mr. Pratik chadhokar is an Indian Forex, Cryptocurrencies and Financial Market Advisor and analyst with a background in IT and Financial market Strategist. He specialises in market strategies and technical analysis and has spent over a year as a financial markets contributor and observer. He possesses strong technical analytical skills and is well known for his entertaining and informative analysis of the Financial markets.
