MicroStrategy has significantly increased its Bitcoin reserves, purchasing an additional 10,107 BTC for approximately $1.1 billion, as announced by co-founder Michael Saylor on January 27.
This acquisition boosts the company’s total Bitcoin holdings to an impressive 471,107 BTC, maintaining its position as the largest corporate Bitcoin holder worldwide.
The announcement came during pre-market trading hours on January 27, coinciding with Bitcoin’s dip below $100,000 — a level not seen since the early days of Donald Trump’s presidency.
A Consistent Buying Strategy
This latest acquisition marks MicroStrategy’s 12th consecutive week of Bitcoin purchases. True to form, Michael Saylor hinted at the move in a post on X (formerly Twitter) the day before the official announcement.
MicroStrategy’s journey into Bitcoin began in August 2020 with an initial purchase of 21,454 BTC using corporate cash. Since then, the company has adopted an ambitious accumulation strategy, leveraging debt instruments like convertible notes and secured loans to finance its Bitcoin investments.
Leveraging Equity for Expansion
In October 2024, MicroStrategy introduced the “21/21 plan,” a sales agreement enabling the issuance and sale of up to $21 billion worth of its Class A common stock.
Between January 21 and January 26, MicroStrategy sold over 2.76 million shares, raising approximately $1.1 billion to fund its latest Bitcoin purchase. The company still has $4.35 billion worth of shares available for future issuances under this plan.
Additionally, in December 2024, MicroStrategy proposed increasing its authorized common stock to 10.33 billion shares and its preferred stock to 1.005 billion shares, granting the flexibility to raise additional funds as needed.
A Blueprint for Corporate Bitcoin Adoption
MicroStrategy’s aggressive Bitcoin strategy has inspired businesses worldwide to embrace cryptocurrency.
In Japan, Metaplanet gained attention after accumulating 1,762 BTC by the end of 2024, resulting in a 2,000% surge in its share price. The company plans to expand its holdings to 10,000 BTC in 2025, marking a 467% increase.
Meanwhile, U.S.-based real estate services firm Fathom Holdings recently announced plans to allocate $500,000 toward Bitcoin and related exchange-traded funds, aiming to diversify its heavily dollar-dependent reserves.
Setting the Standard
MicroStrategy’s bold approach continues to set the benchmark for corporate Bitcoin adoption, influencing companies across industries to explore cryptocurrency as a long-term asset. With each new acquisition, the firm solidifies its reputation as a pioneer in integrating Bitcoin into corporate strategy.
For more news, find me on Twitter Giannis Andreou and subscribe to My channels Youtube and Rumble
What is your opinion on this particular topic? Leave us your comment below! We are always interested in your opinion!