- Strategy expands holdings to nearly 650,000 BTC, surpassing $61 billion.
- Company acquires 8,178 BTC using proceeds from preferred stock sales.
- Strategic financing supports Strategy’s aggressive approach to digital assets.
Strategy, formerly known as MicroStrategy, has acquired an additional 8,178 BTC for a total of $835.6 million, marking its latest bitcoin purchase between November 10 and November 16. The acquisition was made at an average price of $102,171 per bitcoin, according to an 8-K filing with the Securities and Exchange Commission (SEC).
As a result, the company now holds a staggering 649,870 BTC, with an estimated value of around $61.7 billion.
This brings the total cost of Bitcoin purchased by the company to approximately $48.4 billion, including fees and expenses. The company’s founder and executive chairman, Michael Saylor, shared that this amount was acquired at an average price of $74,433 per bitcoin.
Significantly, this latest acquisition represents over 3% of Bitcoin’s total supply of 21 million coins. At current prices, Strategy has realized roughly $13.3 billion in paper gains.
Also Read: Shiba Inu on the Brink: Why Market Apathy Could Spell Its Silent End
Strategic Financing Behind Recent Bitcoin Acquisitions
The company’s recent bitcoin acquisitions, the largest since July, were financed through a combination of methods. A portion of the funds came from the sale of perpetual preferred stock, including STRK, STRF, STRC, and STRD, while the remainder was funded by the company’s issuance of its first-ever euro-denominated preferred stock, STRE.
The combined value of these preferred stock programs is substantial, amounting to $21 billion for STRK, $4.2 billion for STRF, $2.1 billion for STRC, and $4.2 billion for STRD. These efforts are part of Bitcoin Strategy’s broader “42/42” plan, which aims to raise a total of $84 billion by 2027 to fund future bitcoin acquisitions.
Interestingly, the company continues to sell shares of its STRK, STRF, and STRC stock. Last week, Strategy sold 5,513 STRK shares for around $500,000, leaving $20.34 billion worth of STRK shares available for future sale.
The company also sold a significant number of STRF and STRC shares, with remaining issuance programs valued at $1.64 billion and $4.04 billion, respectively. However, no shares of the company’s Class A common stock or perpetual Stride preferred stock were sold during this period.
Strong Outlook on Bitcoin Holdings Despite Risks
Strategy’s aggressive approach toward acquiring Bitcoin highlights its ongoing bullish stance on the cryptocurrency. While the company’s bitcoin holdings represent a substantial share of the total bitcoin supply, it remains exposed to market fluctuations and potential risks related to the volatility of the asset.
The latest funding mechanisms through stock sales reflect a growing trend among firms to tap into alternative financing routes to accumulate bitcoin without directly using traditional capital.
By continually expanding its holdings, Strategy is cementing its place as one of the largest institutional holders of Bitcoin globally.
Also Read: Bitcoin Shifts Gear: Now Moves Like Tech Stocks, Not Gold – What’s Driving It?
