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Nasdaq-listed Microstrategy acquired 12,222 bitcoins in the second quarter, bringing its total holdings to 226,500 BTC. CEO Phong Le and CFO Andrew Kang expressed optimism about future bitcoin support and emphasized the company’s financial strategies. Despite net losses, Microstrategy remains committed to its bitcoin strategy.
Microstrategy Expands Bitcoin Holdings
Microstrategy Inc. (Nasdaq: MSTR) reported its financial outcomes for Q2 on Thursday. The company, known for being the largest corporate holder of BTC, has grown its bitcoin holdings. Michael Saylor, Microstrategy’s executive chairman, shared on social media platform X on Thursday:
In July, Microstrategy acquired an additional 169 BTC for $11.4 million and now holds 226,500 BTC.
During the company’s earnings call, Microstrategy revealed that 12,222 bitcoins were acquired since the beginning of Q2 for $805.2 million, or $65,882 per BTC. As of July 31, the company’s 226,500 bitcoin holdings were acquired at a total cost of $8.3 billion, or $36,821 per bitcoin.
Microstrategy CEO Phong Le highlighted the firm’s focus on maintaining a “BTC Yield,” aiming for an annual increase of 4%-8% over the next three years. He also noted the company’s optimism about the increasing support for bitcoin from politicians and institutions.
CFO Andrew Kang detailed the financial maneuvers that have bolstered Microstrategy’s bitcoin holdings. In Q2, the firm also announced a 10-for-1 stock split effective Aug. 7. Kang emphasized the successful raising of $800 million through 2.25% convertible senior notes and the redemption of $650 million in notes due 2025. Despite the gains in bitcoin holdings, the company faced a net loss of $102.6 million for Q2, largely due to digital asset impairment losses.
Saylor recently shared his bitcoin price prediction, stating that by 2045, BTC’s price could range from $3 million in a bear case to $49 million in a bull case, with a base case of $13 million. He emphasizes the cryptocurrency’s potential to revolutionize the global economy and advocates for its adoption as a primary treasury asset to ensure economic stability and wealth accumulation. He argues that the U.S. government should hold the majority of the world’s bitcoin to strengthen the U.S. dollar.
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