Bitcoin

<a href="https://optimisus.com/news/crypto-news/michael-saylor-sparks-controversy-in-the-bitcoin-community-by-downplaying-self-custody/" rel="noopener noreferrer nofollow">Michael Saylor, the co-founder and Chairman of MicroStrategy</a>, has unveiled an ambitious plan to raise $21 billion to acquire more Bitcoin by issuing additional shares of MSTR at current market prices.This move will likely dilute the value of existing shares, which typically leads to a drop in stock prices. Surprisingly, MicroStrategy&#39;s stock has remained relatively stable following the announcement, thanks in part to the loyalty of its shareholders and the company&#39;s strong performance since 2020, alongside its substantial Bitcoin holdings.MicroStrategy&#39;s journey into Bitcoin began in 2020, a time when corporate investments in cryptocurrency were still gaining traction. Over the past four years, the company has financed its Bitcoin acquisitions through corporate debt, amassing a total of 252,220 Bitcoins, which represents about 1% of the total Bitcoin supply, valued at approximately $17.6 billion. Their latest purchase occurred in September 2024, when they acquired 7,420 Bitcoins at an average price of $61,750 each, totaling around $458.2 million.Despite concerns about share dilution, shareholders remain optimistic. <a href="https://optimisus.com/news/crypto-news/bitcoin-price-to-surge-to-13m-by-2045-michael-saylor/" rel="noopener noreferrer nofollow">MicroStrategy</a>&#39;s significant Bitcoin holdings create a unique relationship between the performance of its stock and the price of Bitcoin, positioning the company as a potential quasi-Bitcoin exchange-traded fund (ETF).The total investment in Bitcoin stands at about $9.9 billion, with the current value of these holdings being 95% higher than the initial investment, contributing to a notable rise in the company’s stock price.Since MicroStrategy began its Bitcoin strategy, its stock price has skyrocketed from around $13 in 2020 to approximately $244.50 today, reflecting a remarkable 250% increase just this year, far surpassing Bitcoin&#39;s 60% growth.Looking ahead, Saylor aims to purchase $42 billion worth of Bitcoin over the next three years, supported by the recent equity raise and debt notes. If successful, this could triple the company&#39;s Bitcoin holdings, depending on the average purchase price.

Michael Saylor announces plans to raise funds to buy more Bitcoin

Optimisus

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