1.08 -0.15%
  • BTC
    27365.73 2.15%
  • ETH
    1859.58 2.38%
  • SOL
    19.9 2.36%
  • ADA
    0.37 1.09%
  • AVAX
    14.85 1.09%
  • DOT
    5.4 1.77%
  • LTC
    92.43 1.8%
  • BCH
    116.46 1.4%
  • CRO
    0.06 0.65%
    0.88 1.7%
  • LINK
    6.58 0.7%
  • XLM
    0.09 0.58%
  • UNI
    5.14 1.28%
  • SHIB
    0 1.02%

MicroStrategy buys 6,455 BTC for $150 million – are they in profit?

MicroStrategy's Michael Saylor announced that the company went on a Bitcoin shopping spree, increasing holdings to $4.1 billion.

After paying off its Silvergate loan, MicroStrategy acquired an additional 6,455 bitcoins. The company now owns 138,955 BTC. Is MicroStrategy’s Bitcoin stash finally in profit?

MicroStrategy continues to buy Bitcoin

MicroStrategy strikes again. Michael Saylor, founder, and former CEO of MicroStrategy said on March 27th that the company has repaid its $205 million loan to Silvergate.

Related article: Bitcoin’s performance is better than almost all S&P 500 stocks in 2023

Saylor emphasized that MicroStrategy paid back the Silvergate loan at a 22% discount, referencing a form 8-K filing with the US Securities and Exchange Commission (SEC).

The former CEO claimed that 6,455 bitcoins were purchased by the company for $150 million (or an average of $23,238 per coin) as of March 23rd. According to Saylor, MicroStrategy now owns 138,955 BTC after spending $4.14 billion, or an average of $29,817 per coin, on the purchase.

MicroStrategy also announced that it has raised $339.4 million through an at-the-market share sale program this year, with the proceeds of which it has repaid its entire outstanding loan balance. 

Final thoughts

Bitcoin is trading at $27,400 at the time of this writing. It remains to be seen if MicroStrategy’s continuous investment strategy in the largest digital asset, Bitcoin, will pay off in the long run as the company continues to increase its Bitcoin holdings. But to conclude, no, MicroStrategy is still not in profit.

Also read: People made millions on Arbitrum airdrop – so why is ARB collapsing?

Their average purchase entry is almost $30,000 and Bitcoin is currently at $27,400. MicroStrategy is less than 9% in loss on their investment. This is still better than at the end of 2022 when everyone was proclaiming the end of digital gold. 

I got into financial markets by accident in 2012 and started with Forex trading. Later in 2017, I started investing in stocks in cryptocurrencies and began writing articles profess...


Post has no comment yet.

Want add your comment? Sign up or Sign in