HomeBTCMichael Saylor’s MicroStrategy To Raise $500M To Buy More Bitcoin

Michael Saylor’s MicroStrategy To Raise $500M To Buy More Bitcoin

-



MicroStrategy, led by CEO Michael Saylor, announced it will raise $500 million through a private offering of convertible senior notes. The proceeds will fund additional purchases, furthering its corporate Bitcoin accumulation strategy.

MicroStrategy is already the largest public company holder of Bitcoin, with over 214,400 BTC worth $15 billion on its balance sheet. Starting in 2020, under Saylor’s direction, it adopted Bitcoin as its primary reserve asset.

It’s average purchase price per Bitcoin remains around $35,000. With Bitcoin trading near $68,000, the firm is still significantly in the green on its holdings.

The latest $500 million capital raise comes via selling convertible senior notes to qualified institutional buyers. The notes will pay interest semiannually and mature in 2032 unless converted or redeemed earlier.

According to the announcement, MicroStrategy may use the funds for general corporate purposes, but Bitcoin acquisition remains the priority. The company will also grant initial purchasers an option to buy an additional $75 million of notes.

MicroStrategy’s Bitcoin-buying obsession has made it a Wall Street proxy for Bitcoin itself. The company’s stock often rises and falls with Bitcoin’s price movements, with investors betting on BTC’s upside.

With this latest capital injection, MicroStrategy is signaling its conviction that Bitcoin will continue appreciating over the long term. Saylor is ready to double down by acquiring more coins while prices remain relatively low.



LEAVE A REPLY

Please enter your comment!
Please enter your name here

LATEST POSTS

XRP Lawyer Debunks Ripple-SEC Settlement Rumor For Tomorrow

A rumor claiming a potential settlement between Ripple and the US Securities and Exchange Commission (SEC) scheduled for a closed meeting on July 18...

Worldcoin (WLD) Price Spikes Over 55% but ZachXBT Issues Caution to Investors

The Wordcoin (WLD) community recently surpassed 6 million users, thus fueling the ongoing bullish rebound. Worldcoin (WLD), a Web3 project incubated by OpenAI CEO Sam...

Bitcoin Price Prediction: BTC Breaks $65K As Craig Wright Admits He’s Not Satoshi Nakamoto And Investors Flock To This Learn-To-Earn Crypto For Its 696%...

Join Our Telegram channel to stay up to date on breaking news coverage The Bitcoin price soared 2% in the last 24 hours to trade...

EEA Releases DeFi Risk Assessment Guidelines v1

17 July 2024 EEA today published the DeFi Risk Assessment Guidelines, Version 1 <https://entethalliance.org/specs/defi-risks/>. This is a pioneering document compiling risks for DeFi protocols, along...

Most Popular