MicroStrategy continues to increase its stake in Bitcoin (BTC). The CEO of MicroStrategy, Michael Saylor, announced on Twitter that the firm purchased 2,574 BTC. The transaction was performed for $50 million in cash in accordance with the company0s Treasury Reserve Policy.
MicroStrategy Purchases An Additional $50 Million in Bitcoin
Companies continue to place their funds in the cryptocurrency market. This time, MicroStrategy announced they have purchased 2,574 BTC for $50 million. The average price of the purchase was approximately $19,427 per Bitcoin. This allows the firm to hold 40,824 BTC. At the time of writing this article, these funds are worth over $773.84 million.
The information was released by the CEO and Founder of MicroStrategy on Twitter. Michael Saylor has been very open about the decision of the company to embrace and support Bitcoin.
On Twitter, Michael Saylor wrote:
“MicroStrategy has purchased approximately 2,574 bitcoins for $50.0 million in cash in accordance with its Treasury Reserve Policy, at an average price of approximately $19,427 per bitcoin. We now hold approximately 40,824 bitcoins.”
MicroStrategy is a company that has been working for several years offering business intelligence (BI), mobile software and also cloud-based services to users. They analyze internal and external data so as to make business decisions and develop new applications.
A few weeks ago, Michael Saylor explained that they are strategically purchasing Bitcoin. The goal is not to trade them, but to reduce exposure to fiat currencies melting. Moreover, he stated that they are going to be holding Bitcoin for the next 100 years.
MircoStrategy is just one of the many companies currently holding and buying Bitcoin. During 2020, several companies announced they have purchased Bitcoin. For example, Square Inc, bought $50 million in Bitcoin. They were able to get 4709 BTC for around $10,617 each. This represents 1% of Square’s total assets.
It is worth mentioning that Grayscale’s crypto assets under management have surpassed $10 billion a few weeks ago. This shows there is a large number of users that want to buy Bitcoin and other digital assets.
Larger investors are entering the market and this is something that can be seen in the price of Bitcoin. The digital asset briefly touched its previous all-time high reached in 2017 of around $19,500. The entire crypto market remains bullish about the future of digital assets and Bitcoin.