Michael Saylor, the CEO of business intelligence firm MicroStrategy, has shared a tweet on purchasing Bitcoins worth $15 million. As per the recent Securities and Exchange Commission (SEC) filing, MicroStrategy has purchased 271 bitcoins while the average price was around 55,000.
Microstrategy Purchases Bitcoin During Price Drop at $55,000
On May 13th, the NASDAQ-listed company announced the purchase of 271 bitcoins. MicroStrategy has doubled down on its BTC-related agenda, despite the volatile market conditions. The purchase makes the total accumulation of Bitcoin to 91,850 coins.
Despite being made public today, the $15 million worth transaction was yesterday, according to MicroStrategy. The company saw an opportunity to add more bitcoins to its treasury, during a drop in the price of $55,387. This is the asset’s price from yesterday before it steadily decreased to a 2-month low below $47,000 today on reports that Tesla will no longer accept Bitcoin payments for its vehicles.
MicroStrategy eventually paid $2.241 billion for the coins it owns. Their shares are now worth around $4.6 billion, thanks to the asset’s remarkable appreciation in value since then.
Moreover, the business intelligence company also requires 8,421 bitcoin to reach its target of 100,000 BTC in reserves. To get over that figure, the company will have to spend another $496 million on bitcoin at current rates.
MicroStrategy’s Commitment Towards BTC-Related Initiatives
Apart from major bitcoin funds such as GBTC and a few other entities, Microstrategy is a publicly traded company with one of the largest bitcoin holdings to date. In August of last year, the organization started allocating funds in the primary cryptocurrency. Since then, the average entry price for those transactions made has been $24,403 per bitcoin.
Apart from owning 0.437 percent of all bitcoins ever created, the tech giants and their CEO have recently launched hundreds of new pro-BTC initiatives.
MicroStrategy hosted a panel earlier this year to inform C-level executives from big businesses about the benefits of investing in bitcoin. Saylor then followed up with a detailed course for investors. In addition, the company changed its internal policies by paying non-employee board members in Bitcoin rather than cash.