- Michael Saylor triggered a false alarm with a post reminiscing about the first Bitcoin purchase of Strategy, worth $250 million, five years ago.
- The company now holds 607,770 BTC with an average purchase price of $71,756 per coin.
On Sunday, Michael Saylor, co-founder of Strategy (formerly MicroStrategy), made a post on his social media account, reminiscing about the time when their company was starting up in its accumulation of Bitcoin.
“It all began with a quarter billion in Bitcoin,” Saylor posted. It came with a chart from the Michael Saylor/MicroStrategy Portfolio Tracker website.
These kinds of posts usually preceded Strategy’s Monday announcements. However, it appeared to be a false alarm as neither Saylor nor their company followed it up with news about the past week’s BTC purchases.
Looking Back at the First Bitcoin Purchase of Strategy
It turned out to be a simple callback, or a flex, at the time when Strategy greenlit its Bitcoin purchase in August 2020, starting with 21,454 BTC worth $250 million. This came at an average cost of $11,652.84 per BTC, which is now only a fraction of Bitcoin’s $117K trading rate today and all-time high of $123K two weeks ago.
To date, Strategy has already accumulated 607,770 BTC, controlling over 2.89% of the leading cryptocurrency asset’s 21 million supply cap. This also translates to a 20.8% year-to-date (YTD) BTC yield for the company.
So far, Strategy has invested a total of $43.61 billion in its Bitcoin-focused treasury program. This comes at an average purchase price of $71,756 per BTC.
Largest Publicly Traded Bitcoin Treasury Company
Strategy has etched its mark as the largest publicly traded Bitcoin treasury company. It accounts for a 65% share among other publicly listed businesses’ declared BTC holdings.
Nevertheless, it’s only next to the 738,012 BTC BlackRock maintains for the iShares Bitcoin Trust (IBIT) exchange-traded fund (ETF) and still far from Satoshi Nakamoto’s 1.096 BTC haul.
Strategy Prepping for an Over $2 Billion Bitcoin Buy
Despite skipping on its Bitcoin buying spree last week, Strategy appears to be preparing to resume its purchases at an opportune time, or even this week. Last Friday, the company disclosed via a filing with the US Securities and Exchange Commission (SEC) the $90 per share valuation for its 28,011,111 shares of Variable Rate Series A Perpetual Stretch Preferred Stock (the STRC Stock).
The business’s issuance and sale of the STRC Stock is scheduled to settle this Tuesday, and it is expected to fetch around $2.474 after expenses and discounts. It plans to use the sales’ net proceeds for corporate spending, including the acquisition of more BTC and for working capital.
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