MicroStrategy plans to open 500 million USD stock sale to buy more Bitcoins

Although the market situation is still not too positive, MicroStrategy is planning to offer Class A common shares to raise $500 million to invest more Bitcoin.

MicroStrategy plans to open 500 million USD stock sale to buy more Bitcoins

According to a new application filed with the U.S. Securities and Exchange Commission (SEC), MicroStrategy has entered into an agreement with dealers Cowen and Company and BTIG for the purpose of selling shares. 500 million USD. The proceeds are intended to be used to buy more Bitcoins.“We intend to use the net profit from this sale for general corporate purposes, including the purchase of additional Bitcoin, unless otherwise incurred.” As our reports, MicroStrategy started investing in BTC under former CEO Michael Saylor. According to the updated data as of September 10, 2022:



Total BTC MicroStrategy holds:129,698 BTC;

Total cost:3.98 billion USD;

Average buying price (DCA price):30,660 USD for 1 BTC;

Profit:30% off.

With such "swinging", billionaire Michael Saylor "lost" CEO position last month but still retains his position as chairman of the Investment Committee.

Newly appointed CEO Phong Le said that MicroStrategy still plans to hold Bitcoin in the long term, even though crypto investments are not positive because of the prolonged "crypto winter".

In its SEC filing, MicroStrategy also said:

“We have not set a specific target for the amount of BTC we want to hold. We will continue to monitor the market situation to determine if additional financing is available to buy Bitcoin.”

Of course, it's not just MicroStrategy that is "swinging" Bitcoin. Another prominent name is the country El Salvador is no exception. After 1 year of accepting Bitcoin as legal currency, the country's crypto investment has dropped by more than 58%.

Fox Crypto News


Sep 10, 2022

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