Michael Saylor's Strategy bets on Bitcoin amid global tension
Michael Saylor's Strategy (Nasdaq: MSTR), formerly MicroStrategy, bought 705 Bitcoin worth approximately $75 million between May 26 and June 1, as per the company's 8-K filing with the Securities and Exchange Commission (SEC) on June 2.
This is a significant development amid the ongoing global tension emerging out of the war in Europe.
Strategy is the world's largest public corporate holder of Bitcoin. The business intelligence firm that began adding Bitcoin to its account book in 2020 now holds 580,955 BTC worth more than $60 billion at the time of writing.
While Strategy made the latest Bitcoin acquisition at the average purchase price of $106,495 per BTC, its overall BTC purchase comes down to $40.68 billion at the average purchase price of $70,023.
It used the proceeds from the sale of its preferred stock offerings, the 10% Series A Perpetual Strife Preferred Stock (STRF) and the 8% Series A Perpetual Strike Preferred Stock (STRK), to make the Bitcoin purchase last week.
While the STRF stock was trading at $106 in pre-market hours, up 2.33% a day, STRK was trading at 103.50, up 0.333% a day.
The MSTR stock, on the other hand, was trading at $367.77 in pre-market hours, down 0.30% a day.
Saylor, the firm's co-founder and executive chairman, is a well-known Bitcoin advocate who has predicted that Bitcoin will hit the price of $13 million within 20 years.
Saylor is very enthusiastic about the future of the world's largest cryptocurrency, which he believes will be driven by institutional adoption by governments and corporations. He recently told CNBC:
As per Kraken's price feed, the king coin was exchanging hands at $104,288.99 at press time, up 8.5% a month.
This article has been published in TheStreet via Yahoo News.
