Michael Saylors MicroStrategy Ups Latest Debt Offering To $700 Million To Increase Its Bitcoin Bet
Holding firm to the diehard Bitcoin maximalism of its leadership, Michael Saylors MicroStrategy has doubled down yet again on the worlds premier cryptocurrency, upsizing its latest convertible debt offering by $200 million from an original plan of $500 million to purchase more BTC.
MicroStrategy Cant Get Enough BTC
In a Friday press release, Tysons Corner, Virginia-based software company MicroStrategy, announced that it had raised its debt offering to $700 million from $500 million to buy more Bitcoin (BTC).
The unsecured noteswhich will be sold in a private offering to qualified institutional buyers under Rule 144A of the Securities Act of 1933are set to mature in June 2032. MicroStrategy allowed initial buyers to buy an additional $100 million of notes within 13 days of the first issuance. The June 14 announcement said the offering will be closed on Monday.
The company intends to use the debt issuance proceeds to continue adding more Bitcoin to its corporate treasury and for general corporate affairs. MicroStrategy first bought BTC for its treasury in 2020. Now, it holds 214,400 BTC worth a whopping $14 billion, making the company the largest publicly traded HODLer of the worlds oldest and largest cryptocurrency. Suffice it to say that MicroStrategy easily controls over 1% of Bitcoins total supply, which is capped at 21 million BTC.
While that would suggest a stunning profit of over $4 billion if liquidated, Saylor has frequently stressed that he has no intention of selling off MicroStrategys gargantuan Bitcoin stash anytime soon.
MicroStrategys upsizing of its debt offering from $500 million to $700 million aligns with the Bitcoin maxi companys strategy to boost its BTC holdings and position in the crypto market.
Bitcoin Price Still Range-Bound
Meanwhile, the price of the benchmark crypto remains stuck in a post-halving reaccumulation range, which could go on for three more months, as per popular crypto strategist Rekt Capital.
In a June 13 post on the X social media platform, the pseudonymous analyst opined, This cycle has been filled with Re-Accumulation ranges, which inevitably break to the upside over time.
After the Bitcoin halving in 2020, consolidation lasted for 20 days before the alpha crypto rocketed, ultimately hitting the previous all-time high of $69,000 in November 2021. There was a 48-day consolidation phase in 2017.
Bitcoin has plunged to $66,221 as of press time, its weakest price in four weeks. The OG crypto was down 5.5% over the past seven days.
Months from now, you wont remember this pullback. Nobody will remember this Re-Accumulation period. But everybody will remember the Parabolic Phase that comes afterward, Rekt Capital added.
Text source: ZyCrypto
