MicroStrategy Expands Its Bitcoin Empire: Acquires 11,000 BTC For $1.1 Billion
Tech giant MicroStrategy purchased an additional 11,000 Bitcoin (BTC) on Tuesday for about $1.1 billion, its chairman and co-founder Michael Saylor revealed in a statement. social media posts on X (formerly Twitter).
The acquisition marks the company’s 11th consecutive week of Bitcoin purchases, cementing its position as a significant player in the digital currency space. Saylor has been at the forefront of this strategy, positioning enterprise software companies as leverage companies Bitcoin proxy.
MicroStrategy Bitcoin holdings surge
According to micro strategy Archive The company worked with the U.S. Securities and Exchange Commission (SEC) to acquire Bitcoin between January 13 and 20 at an average price of approximately $101,191 per token.
With this latest purchase, the company now holds more than 2% of all Bitcoins to be mined, equivalent to approximately $47.9 billion in total Bitcoin holdings. MicroStrategy has been funding these acquisitions through: market stock sales and convertible bond issuances.
The timing of this latest acquisition coincides with a broader shift in the regulatory environment under President Donald Trump, who has transformed from a cryptocurrency skeptic to a supporter of the industry.
The change is expected to create a more favorable regulatory framework for cryptocurrencies, prompting Saylor and MicroStrategy to accelerate their efforts capital target and Bitcoin buying efforts.
Ahead of Trump’s inauguration, the company’s co-founders even attended the inaugural “Crypto Ball” in Washington on Friday and engaged with key figures in the incoming administration.
New Stock Supports Bitcoin Strategy
In a related development, MicroStrategy shareholders voted Tuesday also approved a 30-fold increase in the number of authorized Class A common shares, from 330 million to 10.3 billion.
According to Bloomberg, the decision was passed with about 56% of the vote and is intended to facilitate further financing of the company’s purchases of Bitcoin. In addition, shareholders voted to increase the authorized number of preferred shares from 5 million to 1 billion.
These revisions will become effective upon submission of the necessary documentation by MicroStrategy Certificate of modification with the Delaware Secretary of State. The report pointed out that since Chairman Seiler holds about 47% of the voting rights, this result is basically expected.
The newly authorized shares will also be used for a variety of financial strategies, including private transactions of Class A shares, sales of market share offerings and settlement of redemptions or conversions of convertible notes. However, the company said it may choose not to sell all additional shares.
As of this writing, Bitcoin’s price continues to fluctuate wildly, with its price hinting at a new all-time high. It is currently trading at $106,400, up 2.5% in 24 hours.
Featured images from DALL-E, charts from TradingView.com
