Michael Saylor, CEO of MicroStrategy, is one of the best-known persons in the crypto industry. Bitcoin holders love him because he put bitcoin on MicroStrategy’s balance sheet. The idea: protecting MicroStrategy’s assets from inflation. Right now, MicroStrategy owns 92079 BTC.
During the last couple of months, MicroStrategy and Michael Saylor bought bitcoin for vast amounts of money whenever the price was low. And currently, bitcoin is cheap. That’s why Michael Saylor intends to buy some more bitcoin for $400 million! Considering the current bitcoin price, MicroStrategy would then own more than 100 000 BTC.
But MicroStrategy will hold the newly purchased bitcoin under a new subsidiary called “MacroStrategy.” Bitcoin holders love this news! After the recent price decrease, news stories like this are music to their ears.
But some people don’t think that purchasing more bitcoin is a good idea. Many MicroStrategy shareholders, for example. After the announcement, MicroStrategy’s stock fell by 3%. It will be interesting to see if this strategy pays off for MicroStrategy.
So far, it did. The company has purchased bitcoin at an average price of $24450 per bitcoin. Despite the recent crash, that’s still a return of more than $1 billion in unrealized gains.