tl;dr
Strategy (formerly MicroStrategy) is conducting a private offering of $2 billion in convertible senior notes to buy more Bitcoin. The company paused its Bitcoin purchases last week but quickly resumed. It now holds 478,740 BTC acquired for ~$31.1 billion at ~$65,033 per Bitcoin. The stock offerings ...
Strategy (formerly MicroStrategy) is conducting a private offering of $2 billion in convertible senior notes to buy more Bitcoin. The company paused its Bitcoin purchases last week but quickly resumed. It now holds 478,740 BTC acquired for ~$31.1 billion at ~$65,033 per Bitcoin. The stock offerings will help fund more Bitcoin purchases, following a similar tactic employed last month. The company's BTC stockpile has appreciated in value, but it remains strictly held. Despite Bitcoin price fluctuations, the company aims to acquire more assets for the same investment. The company's stock price has underperformed recently, but the overall strategy appears consistent with previous offerings. There are rumors of potential difficulties, but for now, the company remains bullish on its approach.
Strategy (formerly MicroStrategy) is conducting a private offering of convertible senior notes. The firm will offer $2 billion of these assets and use the proceeds to buy more Bitcoin. Saylor announced that his firm had not bought any Bitcoin in the last week, further interrupting his purchasing trend. Still, other than this detail, everything else seems to fit within his standard acquisition playbook. Since MicroStrategy (recently rebranded to Strategy) began acquiring Bitcoin, it’s become one of the world’s largest BTC holders. Earlier this month, the firm broke its 12-week streak of consecutive purchases, quickly resuming it shortly afterward. The company is planning to privately offer $2 billion worth of convertible senior notes. These stock offerings, of course, will help Strategy fund more Bitcoin purchases. This is an established technique for the company, making a similar offering last month. Strategy has employed a few different tactics to continue these major Bitcoin acquisitions. The price of Bitcoin has been somewhat wobbly over the past few weeks, which may present an opportunity for Strategy. After striking ups and downs, its price is consolidating just under the $100,000 mark. Meanwhile, MSTR’s stock price has also underperformed recently. It remains down by nearly 15% in the past month. Ultimately, this whole operation seems pretty by the book. Strategy has clearly telegraphed its intentions to buy more Bitcoin with this stock sale, just like several other recent offerings.
Although there have been rumors that the firm may face difficulties fulfilling this strategy, they haven’t surfaced yet. For now, Saylor seems content with the same outlook – maximalist bullishness.