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- Strategy acquired 1,587 Bitcoin, pushing holdings above 846,000 BTC.
- Michael Saylor’s company expanded reserves through continued stock sales.
- Strategy increased cash reserves while maintaining aggressive Bitcoin accumulation.
Strategy continues to pile up more BTC as its corporate treasury nears 846,000 BTC. As its corporate treasury approaches 846,000 BTC, Strategy continues its accumulation of more BTC. After recovering from last week’s losses, Strategy has toped up its Bitcoin reserves by increasing its holdings by 1,587 coins, bringing its total to more than 846,000 coins. This new purchase adds to the firm’s standing in the public corporate Bitcoin market, making it the leading player.
Strategy bought the extra Bitcoin during the period of June 8 through June 14, according to a documents it filed with the U.S. Securities and Exchange Commission. The company paid an average of $63,024 per bitcoin in the transaction, which cost the company about $100 million. The investment brought Strategy’s total stake to 846,842 BTC. Michael Saylor, Strategy’s co-founder and executive chairman, announced the company has invested around $64.1 billion in Bitcoin, which includes fees and acquisition costs.
The company’s Bitcoin treasure trove currently sits at about $56 billion, based on market values. Additionally, that’s over 4% of Bitcoin’s limited supply of 21 million coins, reflecting the scale of Strategy’s long-term accumulation program. Saylor also teased the deal in the lead up to the announcement. On Sunday, he posted the chart from Strategy’s Bitcoin tracker to his social media with a quote: “Still adding dots” which is used by investors when a new Bitcoin buy is expected.
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Stock Sales Continue Supporting Bitcoin Purchases
Strategy funded the latest acquisition through its ongoing at-the-market stock offering program. The company sold over 1.73 million MSTR on a per-share basis and realized earnings of ~$209 million. Further, the business announced that $25.75 billion worth of MSTR equity continues to be offered under the existing program. In addition, Strategy has extended its fundraising model with a series of additional common and preferred stock offerings to support future Bitcoin transactions.
The company has boosted its cash reserves as well as its holdings of Bitcoin. The dollar reserves of Strategy were posted at $1.1 billion as of June 14, up from $1 billion one week ago, regulatory filings revealed.
The surge is a result of the ongoing assessment of the sustainability of Bitcoin treasury companies and their financing models. Recently, some observers expressed concern on the level of reserves and obligations on the dividend side for Strategy’s preferred stock products. However, the company executives have insisted that its capital structure has enough flexibility to go ahead with its Bitcoin acquisition strategy, as well as fulfil its financial obligations.
Strategy Maintains Lead Among Corporate Bitcoin Holders
The recent acquisition puts Strategy ahead of other public Bitcoin-focused firms. According to Bitcoin Treasuries, almost 200 public companies now have Bitcoin listed on their balance sheets as a way to diversify their treasuries. Some of the companies that have accumulated a significant Bitcoin position include Metaplanet, MARA, Coinbase, Riot Platforms and SpaceX.
As markets continue to fluctuate, Strategy’s treasury is growing as more and more institutions are interested in Bitcoin. Meanwhile, the company’s focus on expanding exposure continues with an mix of equity issues and treasury management moves. As a result, Strategy’s Bitcoin HODL was increased to more than 846,000 BTC with the latest purchase, putting them ahead of other corporate Bitcoin holders. The firm also built up its cash stockpile, and kept its $4 billion in possible funding options for future acquisitions.
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