MicroStrategy announced the purchase of BTC for $458 million

MicroStrategy, an American software development company, continues to surprise the crypto community with its aggressive Bitcoin accumulation strategy. Recently, the company announced a new large cryptocurrency purchase, further strengthening its position as one of the largest corporate holders of BTC.

• New purchase: 7,420 BTC for $458 million

From September 13 to 19, MicroStrategy acquired 7,420 bitcoins for $458 million. This is another step in the company’s long-term strategy of investing in the first cryptocurrency.

Financing through convertible bonds

To finance the purchase, MicroStrategy successfully placed convertible bonds worth $1.01 billion. The company commits to pay interest at a rate of 0.625% every six months, with maturity in 2028. Part of the funds was used to acquire bitcoins at an average price of $61,750, and the rest to repay previously issued bonds.

Currently, MicroStrategy holds 252,220 BTC on its balance sheet. The total investment amount is $9.9 billion, with an average purchase price of $39,266 per bitcoin. This demonstrates the company’s long-term confidence in Bitcoin’s potential.

A unique feature of MicroStrategy’s strategy is the use of borrowed funds to acquire bitcoins. The company regularly issues debt securities to finance its cryptocurrency investments, which is a rather risky but potentially high-yield approach.

Future forecasts

Analysts from River Financial predict a significant increase in corporate investments in Bitcoin by 2026. If these predictions come true, MicroStrategy’s strategy could prove to be very profitable in the long term.