MicroStrategy Expands Bitcoin Holdings with $2B Purchase, Total Holdings Reach $23B

MicroStrategy, the leading business intelligence firm that has become a major institutional investor in Bitcoin, has announced another significant acquisition of the cryptocurrency, boosting its total holdings to 279,420 BTC, valued at nearly $23 billion.

In a press release on November 11, MicroStrategy revealed that it had purchased 27,200 Bitcoin for approximately $2.03 billion in cash. The company made the purchase between October 31 and November 10, acquiring the coins at an average price of $74,463 per BTC, including transaction fees and expenses.

A Bold Commitment to Bitcoin

While some investors are cautious about buying Bitcoin at new market highs, MicroStrategy has continued to double down on its Bitcoin strategy. The firm’s latest purchase brings its total Bitcoin holdings to 279,420 BTC, reinforcing its status as the largest corporate holder of the cryptocurrency. At current market prices, these holdings are valued at around $23 billion.

Funding the Purchases through Share Sales

To fund this latest Bitcoin acquisition, MicroStrategy raised capital by selling shares of its own stock. The company disclosed that it entered into agreements to sell shares in both August and October of this year. As of November 10, MicroStrategy had sold approximately 7.8 million shares, raising around $2 billion in proceeds.

The company’s strategy of using equity sales to fund its Bitcoin purchases reflects its commitment to the cryptocurrency, which has become a core part of its financial strategy.

Strong Bitcoin Yield and ROI

MicroStrategy also shared key metrics on its Bitcoin investments. The company's Bitcoin yield, a measure of how well its acquisition strategy is performing, was reported at 7.3% from October 1 to November 10. For the year to date, the yield stands at an impressive 26.4%.

The company’s Bitcoin holdings have also proven to be highly profitable. According to the Saylor Tracker, a tool that tracks MicroStrategy's Bitcoin portfolio, the company’s return on investment (ROI) from its Bitcoin purchases surpassed 100% on November 10. Even before adding the most recent purchase, the value of its Bitcoin holdings had already exceeded $20.5 billion.

MicroStrategy's Bitcoin investments date back to 2020, and the firm has made 42 separate Bitcoin purchases at an average price of $39,292 per BTC, according to BitcoinTreasuries data.

Market Reaction and Corporate Leadership

The latest Bitcoin buy comes at a time of heightened market interest. MicroStrategy’s stock also saw a significant surge following the November 5 U.S. presidential election, jumping 19.9% by November 8 after Donald Trump's victory was confirmed.

With its consistent purchases, MicroStrategy remains the largest corporate holder of Bitcoin by a wide margin. The next largest corporate holders are Marathon Digital and Riot Platforms, which hold BTC valued at about $2.1 billion and $840 million, respectively.

Conclusion

MicroStrategy’s continued commitment to Bitcoin, both as a corporate asset and as a central part of its business model, demonstrates the firm’s bullish outlook on the cryptocurrency. With its latest $2 billion purchase, the company’s Bitcoin portfolio now stands as one of the largest and most valuable in the world, reflecting a strategic long-term investment that has already delivered substantial returns.