Microstrategy Buys Over $1 Billion In BTC As The Company Continues To Increase Its Holdings

MicroStrategy announced Wednesday that it bought more than $1 billion worth of additional bitcoins, just days after completing another sale of convertible debt.

The purchase of 19,452 bitcoins puts the company’s total holdings of the leading cryptocurrency at 90,531. The Virginia-based enterprise software company said it paid an average price of $52,765 per bitcoin, including fees and other expenses, as reported by CNBC. The company revealed its first bitcoin purchase in August, using the cash it had on its balance sheet to acquire the cryptocurrency.

MicroStrategy Has Completed Two Convertible Debt Offers

Since its first bitcoin purchase, MicroStrategy has completed two convertible debt offerings to raise capital to finance additional purchases.

The most recent offering was completed last week, generating approximately $1.03 billion in net revenue; The notes bear a coupon rate of 0%. News of the MicroStrategy buyout came as bitcoin’s price surged back over $50,000 on Wednesday, though later dropped below that level.

At the time of writing, BTC is changing hands below $50,500. MicroStrategy has spent $2.171 billion on bitcoin. Based on the current price of bitcoin, the company’s holdings are worth nearly $4.5 billion.

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