The company holding the most Bitcoin in the world continues to buy more

Software firm MicroStrategy is still betting on Bitcoin, buying more than 9,200 more coins last week.

According to a report filed with the US Securities Commission (SEC) on March 19, software company MicroStrategy (USA) last week purchased an additional 9,245 Bitcoin, for $623 million. This number is equivalent to the purchase price of 67,400 USD per coin.

The money to buy Bitcoin was taken from the company's latest bond sale, $592 million, plus more than $30 million in cash.

Thus, MicroStrategy holds 214,246 Bitcoin, worth $13.5 billion. This amount of digital currency is equivalent to more than 1% of the amount of coins in circulation.

MicroStrategy President Michael Saylor at the Btcoin 2023 Conference in Florida (USA). Photo: Reuters

However, the price of Bitcoin has continuously gone down in the past few days, on the morning of March 20, it was around 62,000 USD per coin. This caused MicroStrategy stock price to decrease. Closing the session on March 19, this code lost 5.6%. Overall, in the last 5 sessions, this code decreased by 15% as Bitcoin plunged.

MicroStrategy was founded 35 years ago, mainly operating in the software field. Last year, this company's shares increased 337%, reaching the top of the strongest in the US - companies with a capitalization of 5 billion USD or more. This increase is larger than chip company Nvidia (234%) and social networking giant Meta Platforms - which owns the Facebook platform (194%).

However, unlike other technology companies whose stocks have increased thanks to market share and revenue, MicroStrategy is attractive to investors thanks to Bitcoin. The company began buying the cryptocurrency in mid-2020, betting the currency would help it survive in a time of fierce competition.

This strategy has worked. MicroStrategy's capitalization increased 15 times in 4 years, at $24 billion. On February 7, Chief Financial Officer Andrew Kang said they are now "the company that owns the most Bitcoin in the world" and pledged to "continue to buy Bitcoin".

American company profits more than 5 billion USD thanks to Bitcoin
MicroStrategy - the company that owns the most Bitcoin in the world - has benefited greatly when digital currency prices have continuously increased recently.

In December 2023, former MicroStrategy CEO Michael Saylor shared on CNBC, what they hope for in 2024 is that Bitcoin continues to increase in price. "For organizations, building a strategy based on Bitcoin is a pretty safe way to go," Saylor said.

Although Bitcoin is controversial globally, at least Saylor's strategy worked this week, when the price of this digital currency skyrocketed. On February 29, each Bitcoin coin touched 63,600 USD and is currently around 61,000 USD.

On February 26, Saylor wrote on X that MicroStrategy bought an additional 3,000 Bitcoins at an average price of 51,813 USD per coin. As of February 25, this company owned 193,000 Bitcoin. The total purchase price is about 6.09 billion USD. At the current price, they are making a profit of 5.5 billion USD if they sell.
 
MicroStrategy was founded 35 years ago, mainly operating in the software field. Last year, this company's shares increased 337%, reaching the top of the strongest in the US - companies with a capitalization of 5 billion USD or more. This increase is larger than Nvidia (234%) and Meta (194%).

Unlike other technology companies whose stocks have increased thanks to market share and revenue, MicroStrategy is attractive to investors thanks to Bitcoin. The company began buying the cryptocurrency in mid-2020, betting the currency would help it survive in a time of fierce competition.

This strategy has worked. MicroStrategy's capitalization increased 14.5 times in 4 years, currently at 16 billion USD. On February 7, Chief Financial Officer Andrew Kang said they are now "the company that owns the most Bitcoin in the world" and pledged to "continue to buy Bitcoin".

MicroStrategy shares increased 6% on February 29. This code increased 46% after 5 consecutive sessions.

Saylor also benefits from being the company's largest shareholder, with a 12% stake. In 2020, he held 17,732 Bitcoins personally. According to calculations by CNBC , this week, Saylor earned about 700 million USD more from Bitcoin.