Business intelligence company MicroStrategy has announced that it has increased its bitcoin (BTC) holdings. The firm said it purchased 253 BTC valued at $15 million, including other expenses. Each coin was acquired at an average price of $59,339.
Based on the latest development, MicroStrategy currently holds a total of 91,579 BTC in custody, which were acquired at an aggregate price of $2.226 billion.
Despite advice issued by regulators to the public to shun bitcoin due to its high volatility nature, MicroStrategy has been resilient in the asset’s acquisition spree.
The move is part of MicroStrategy’s effort to convert its excess cash holdings into the popular cryptocurrency, as its CEO Michael Saylor has consistently tagged bitcoin as a better store of value over fiat.
The reason behind the company’s massive love for bitcoin is not far-fetched, given the remarkable performance of the crypto asset in recent times. In fact, Bitcoin’s ability to outperform traditional financial instruments last year attracted MicroStrategy to it.
It first started with an initial investment of $250 million in August 2020, and since then MicroStrategy has not looked back, with hundreds to thousands of bitcoin being added monthly to the company’s treasury reserve.
Corporate Investors Follow MicroStrategy Footsteps
Although the firm did not plan to woo other corporate investors into the crypto space with its investments, it has been vital in the massive spike in institutional interest in bitcoin.
Since MicroStrategy got involved with the cryptocurrency, other corporate investors, including popular electric car maker Tesla, have also purchased the cryptocurrency.
In February 2021, Tesla announced its groundbreaking purchase of $1.5 billion worth of bitcoin, and Saylor disclosed in an interview last month that his Twitter chat with Tesla CEO Elon Musk may have helped influence Tesla’s decision to invest in the cryptocurrency.
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