tl;dr
MicroStrategy, a software company, plans to increase its authorized Class A common shares by 30 times to finance its cryptocurrency purchases, particularly Bitcoin. The company has already acquired 11,000 BTC at a significant cost and is aiming to raise $46 billion for further Bitcoin acquisitions t...
MicroStrategy, a software company, has revealed plans to increase its authorized Class A common shares by 30 times in order to finance its cryptocurrency purchases, especially Bitcoin. The company, which has already acquired 11,000 BTC at a significant cost, aims to raise $46 billion for further Bitcoin acquisitions through its "21/21 Plan." This bold move is part of MicroStrategy's strategy to focus on long-term Bitcoin holding as a hedge against inflation, viewing the cryptocurrency as "digital gold." MicroStrategy's founder, Michael Saylor, initiated the company's Bitcoin investment strategy in 2020 with a $250 million investment. The company currently holds 461,000 Bitcoin, valued at over $49 billion, attributing its soaring stock performance to this strategy. Furthermore, MicroStrategy recently joined the Nasdaq-100 index, signifying its strong presence in the market.
In response to the increasing demand for Bitcoin, MicroStrategy is taking an innovative approach by increasing its authorized shares to facilitate its ongoing cryptocurrency purchases. This strategic move is poised to provide the company with the necessary resources to further bolster its Bitcoin treasury. MicroStrategy's steadfast commitment to its Bitcoin-centric approach is evidenced by its ambitious "21/21 Plan," aiming to mobilize $46 billion for additional Bitcoin acquisitions. The plan involves raising $21 billion via equity and another $21 billion through the sale of fixed income securities. This resolute pursuit of Bitcoin ownership has already seen MicroStrategy amass a staggering 461,000 Bitcoin, currently valued at over $49 billion. With its founder's vision driving this strategy forward, MicroStrategy's stock has surged by over 3,000%, evidencing the powerful impact of its Bitcoin-focused investment plan.