MicroStrategy Inc, a company that provides business intelligence, mobile software, and cloud-based services, has further enhanced its reputation as the biggest institutional Bitcoin bull in the world. CEO Michael Saylor just announced on Twitter that the company had added another $10 million in BTC to their portfolio.
“MicroStrategy has purchased approximately 314 bitcoins for $10.0 million in cash in accordance with its Treasury Reserve Policy, at an average price of approximately $31,808 per bitcoin. We now hold approximately 70,784 bitcoins.”
MicroStrategy Keeps Gobbling Up Bitcoins
MicroStrategy dominated the headlines a little over a month back by closing a funding round worth $650 million in convertible bonds to private investors at 0.75% interest per year. The company announced that it planned on using the net proceeds ( around $635 million post expenses) to buy Bitcoin.
MicroStrategy’s Steadfast Defense Of Bitcoin
Michael Saylor’s aggressive Bitcoin stance has gotten flak from some quarters for turning MicroStrategy into an investment company or for launching a Bitcoin exchange-traded fund (ETF). Saylor refuted these claims by saying that holding BTC doesn’t make MicroStrategy an investment company. Plus, as per the 1940 Investment Co. Act, an investment company invests at least 40% of its assets in securities. However, since Bitcoin isn’t a security, this conversation doesn’t hold ground. Saylor insists that the only reason why MicroStrategy has invested in Bitcoin is for value preservation.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.