Michael Saylors Strategy Pushes Bitcoin Holdings Near 500K BTC

Michael Saylors Strategy has expanded its Bitcoin holdings to 499,096 BTC with a $2 billion purchase, despite concerns over its financing model and declining stock performance.

Major Bitcoin Acquisition

Strategy, formerly known as MicroStrategy, has reinforced its position as one of the largest Bitcoin holders globally with its latest acquisition. The company successfully completed a $2 billion stock offering, using the proceeds to purchase 20,356 BTC at an average price of $97,514 per Bitcoin.

The announcement was made by Executive Chairman Michael Saylor, who confirmed that the firms total Bitcoin holdings now stand at 499,096 BTC, acquired for approximately $33.1 billion at an average price of $66,357 per Bitcoin.

Strategic Expansion Under the 21/21 Plan

The move aligns with Strategys previously stated 21/21 initiative, which aims to raise $42 billion over the next three years to increase Bitcoin reserves. The companys aggressive accumulation strategy has pushed its holdings to nearly 2.4% of the total Bitcoin supply, far exceeding any of its publicly traded competitors.

Saylor, a well-known Bitcoin advocate, has previously forecasted that Bitcoin could reach as high as $13 million per unit. He once stated,

"Every Bitcoin you dont buy is gonna cost you $13 million."

His commitment to acquiring more Bitcoin remains firm, with Strategy continuously leveraging stock sales to fund its purchases.

Market Impact and Stock Performance

Despite the substantial investment, Strategys stock (MSTR) has struggled, experiencing a 2.37% decline on Monday and extending its monthly losses to 17%, with shares trading at $292.06. The companys financing methodrelying on multibillion-dollar stock saleshas raised concerns among investors, contributing to stock underperformance.

Meanwhile, Bitcoin itself has also seen a dip, declining 0.8% in the last 24 hours to $94,702. This places the assets current market price at approximately $3,000 lower than the companys latest purchase price. Prolonged weakness in Bitcoins value could potentially impact Strategys overall financial standing.

Saylors Vision for Bitcoin and National Policy

Saylor has suggested that the U.S. should consider acquiring up to 20% of Bitcoins total supply, arguing that owning between 4 to 6 million BTC could help the country pay off its national debt. While such a move remains speculative, Strategy remains committed to its aggressive Bitcoin accumulation, with Saylor reiterating his long-term confidence in the asset. He previously stated that he would be "buying the top forever," drawing comparisons between Bitcoin and Manhattan real estate in terms of value appreciation.

As Strategy continues its Bitcoin acquisition spree, the firms approach raises questions about the long-term sustainability of its financing model and its impact on shareholder confidence.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

Text source: Crypto Daily™

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