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MicroStrategy (NASDAQ:MSTR) just went all in on Bitcoin (BTC-USD)again. The company snagged another 2,530 BTC for $243 million at an average price of $95,972 per coin, funded by selling 710,425 shares between January 6 and 12. This latest haul brings its total holdings to a staggering 450,000 BTC, worth over $40 billion. To put that into perspective, MicroStrategy now owns 2.1% of all bitcoin in existence. Bold? Definitely. Risky? Well, that depends on your appetite for volatility.
CEO Michael Saylor isn't just playing the crypto game; he's rewriting the rulebook. With plans to raise up to $21 billion through equity and fixed-income offeringsand a new $2 billion preferred stock strategy in the mixMicroStrategy is making big moves to lure institutional heavyweights. This bet designed to attract deep-pocketed players like insurance companies and pension funds. Sure, some investors are wary of the stock's premium valuation compared to its bitcoin holdings, but Saylor's laser-eyed focus has fueled a jaw-dropping 468% surge in the company's shares over the past year.
The kicker? MicroStrategy's aggressive buying spree isn't slowing down. Its year-to-date BTC Yield stands at 0.32%, underscoring the company's belief that Bitcoin is more than just an assetit's the future. Whether you see Saylor's strategy as genius or gamble, one thing's for sure: MicroStrategy is cementing its place as the corporate face of crypto, no matter how choppy the waters ahead.
This article first appeared on GuruFocus.