MicroStrategy acquires 27,200 BTC for $2.03B, boosting its Bitcoin holdings to 279,420 BTC, with impressive BTC yield performance.
MicroStrategy has announced a significant addition to its Bitcoin portfolio. Between October 31, 2024, and November 10, 2024, the company acquired 27,200 BTC for approximately $2.03 billion. The average purchase price of these Bitcoins, including fees and expenses, was around $74,463 per coin.
This latest purchase increases MicroStrategy’s Bitcoin exposure to 279,420 BTC, which has been acquired for a total of roughly $11.9 billion. The average cost per coin for all of MicroStrategy’s Bitcoin investments is around $42,692, including the fees for each transaction. The news was posted by Michael Saylor, founder and chairman of MicroStrategy, on his official X account.
MicroStrategy has increased its holdings of Bitcoin through a business model that entails the issue of shares. The company then employed the amount from its recent share sales to acquire the new Bitcoin. This approach is in line with the company’s continued strategy of acquiring Bitcoins in the year despite the fluctuations in the market.
MicroStrategy Sees Significant Bitcoin Yield
As of November 10, 2024, MicroStrategy’s Bitcoin yield has been impressive. From 01.10.2024 to 10.11.2024, the company’s BTC yield was 7.3%. On the other hand, for 2024, the BTC Yield is 26.4%. BTC Yield represents the percentage change in the ratio of the company’s Bitcoin to its assumed diluted shares. This KPI is useful to investors to know how much MicroStrategy’s acquisition strategy of Bitcoin adds to the shareholders’ value.
MicroStrategy uses BTC Yield to determine the impact of issuing more shares alongside the purchase of bitcoins on its plans. The company feels that this metric adds value beyond investor understanding, especially in relation to the decision to finance Bitcoin acquisitions through the issuing of common stock or other convertible securities.
In its most recent blog article, MicroStrategy sought to underline the fact that Bitcoin investments are tactical. The company considers these good investments that will enhance its position in the digital asset market and, hence, benefit shareholders. The latest acquisition makes MicroStrategy add to its Bitcoin stockpile, making it one of the largest corporate holders of the digital currency.
MicroStrategy’s ongoing investment in Bitcoin underscores the company’s strong belief in the asset’s long-term value. Today, it holds the most prominent corporate Bitcoin position, reinforcing its commitment to a digital-first future.
