Patience! Microstrategy’s $4.6 Billion Bitcoin Portfolio Finally in the Green

Bitcoin Fees

MicroStrategy, a Virginia-based business intelligence firm, has invested significantly in Bitcoin (BTC), which is now paying off. The company’s $4.6 billion investment is now in the green, as the price of BTC recently surpassed $30,000.

$188M Unrealized Gain

With the price of BTC currently trading around $30,000, MicroStrategy Bitcoin investment is now at a $188 million unrealized gain. This means that the current value of MicroStrategy’s Bitcoin holdings is $188 million more than the average price that the company paid for it. The unrealized gain marks a significant shift from the $560 million unrealized loss MicroStrategy sat on about a month ago. 

Since adopting the Bitcoin strategy in 2020, MicroStrategy has purchased a total of 158,245 BTC at an average price of $29,582 per BTC. This means that the company spent approximately $4.68 billion on its Bitcoin investment.  

At the time of writing, BTC was trading at $30,780, taking MicroStrategy’s Bitcoin treasury to approximately $4.86 billion. In line with the broader crypto market, bitcoin has been on an upward trajectory over the past week. The flagship cryptocurrency’s price could have been largely driven by the potential approval of a spot Bitcoin exchange-traded fund (ETF) and Ripple’s recent victory against the United States Securities and Exchange Commission (SEC).

MicroStrategy’s Bitcoin Adventure 

MicroStrategy is currently the world’s largest corporate holder of Bitcoin, holding 0.75% of the crypto asset’s total supply of 21 million. The company has gradually accumulated Bitcoin since its first purchase in August 2020 and has continued to buy even during periods of market turbulence. MicroStrategy executive chairman Michael Saylor, a vocal advocate for Bitcoin, had said the company sees the crypto asset as a long-term store of value and a potential hedge against inflation.

MicroStrategy’s last Bitcoin purchase was reported on September 25. At the time, the company said it added 5,445 BTC to its portfolio. The stack was bought at an average of $27,053 per BTC.

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