TL; DR failed
- Mocrostrategy buys 7,000 more bitcoins.
- Bitcoin companies currently store 121,044.
- Silver says the company has no plans to sell bitcoin in the next 100 years.
Business intelligence firm MicroStrategy again announced that it had invested $ 414 million to buy $ 7,000 in bitcoin on Monday. In this way, its total storage reaches 121044 bitcoins.
The company ‘s CEO Michael Siler announced the news in a Twitter post. He has been overseeing the accumulation of bitcoins by his company since he became a digital currency enthusiast.
The recent acquisition was offset by earnings from stock previously disclosed in June, and has so far increased by approximately $ 414.4 million through the sale of 571,000 shares in the fourth quarter.
After announcing that they had bought another 7002 bitcoins for about $ 414.4 million in cash, he noted that their average price was $ 59,178.
At the time of this writing, the price of Bitcoin is about $ 57,000, up about 93 percent from the average price of $ 29,534 with which MicroStrategy has made all its purchases.
According to CoinGecko, MicroStrategy is still the public company with the most bitcoin reserves, followed by Tesla, which reportedly owns 48,000 bitcoins.
Programs that MicroStrategy has to store its bitcoins
CEO Michael Seiler has made bitcoin the second mission for his 32-year-old company. Another business is the development of smart commercial software.
In August 2020, the company made its first bitcoin purchase of about $ 250 million. Prior to its first acquisition, the company told shareholders that Fiat was no longer a safe asset, so it needed bitcoin. A few weeks after the company’s first purchase of bitcoins, they bought more bitcoins worth $ 175 million.
However, Michael Seiler revealed that the company did not just buy bitcoins. In an interview with Raoul Paul, he said that the decision to buy Bitcoin was made after serious discussions with the company’s decision makers and investors.
Silver reveals that if they want to transfer millions of inactive cash to Bitcoin, everyone must be involved. He also said that the company’s bitcoin is not a speculation or a risk hedge. Instead, adopting the bitcoin standard is a deliberate corporate strategy.
According to Sayler, they agreed to bitcoin when they realized other assets were vulnerable to ridiculous taxes and fees. He revealed that other assets that are not affected by taxes or expenses are inadequate or controlled by an entity or government.
The board of MicroStrategy acknowledged that bitcoin is getting better over time. He called it “the hive of cybernetic hornets protected by a wall of encrypted energy.”
Asked if the company intends to sell the coins when it has made enough profit, Silver said there are no plans to sell the coins. Silver hopes that after taking over as CEO, the next CEO will have a positive view of Bitcoin. The company can hold the coin for up to 100 years, he said.