MicroStrategy Increases Bitcoin Holdings: A Bold Move in Cryptocurrency Investment

Sean FA
February 25, 2025
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MicroStrategy Increases Bitcoin Holdings: A $47.4 Billion Crypto Investment

MicroStrategy Inc., now rebranded as Strategy, has significantly bolstered its Bitcoin portfolio. Between February 18 and February 23, 2025, the company acquired an additional 20,356 bitcoins, using $1.9 billion raised through a zero-coupon convertible bond offering. This latest acquisition brings Strategy’s total Bitcoin holdings to approximately 499,096 BTC, purchased at an aggregate cost of $33.1 billion, with an average purchase price of $66,357 per Bitcoin. At current market rates, these holdings are valued at approximately $47.4 billion.

Strategic Financial Growth

This move aligns with Strategy’s long-term financial plan, which includes issuing $21 billion in equity and $21 billion in fixed-income instruments over the next three years. The company’s commitment to Bitcoin as its primary treasury reserve asset began in 2020 and has since become a central component of its financial strategy. This approach is aimed at leveraging Bitcoin’s potential as both a store of value and a hedge against inflation.

Operational Changes and Market Performance

In addition to its cryptocurrency investments, Strategy has made significant operational adjustments, reducing its workforce by 400 employees, with the most substantial cuts in research and development, consulting, and sales and marketing. This restructuring aims to streamline operations and support the company’s evolving focus on digital assets. As of December 31, 2024, the company’s workforce stands at 1,534 employees.

Despite recent volatility in Bitcoin prices—trading between $93,000 and $100,000 in February 2025—Strategy’s stock has experienced impressive growth. Over the past year, its share price has surged by 255%, significantly outperforming the S&P 500’s 18% gain during the same period. However, the stock faced a 5.7% decline on February 24, 2025, closing at $282.76.

Leadership and Industry Impact

Michael Saylor, Strategy’s Executive Chairman, remains a prominent advocate for Bitcoin. Speaking at the 2025 Conservative Political Action Conference, Saylor urged the United States government to consider establishing a strategic Bitcoin reserve to maintain its economic leadership in the digital age. His comments have sparked discussions about the role of cryptocurrencies in national economic strategies.

Conclusion

Strategy’s continued investment in Bitcoin highlights its unwavering confidence in cryptocurrency as a long-term asset. As the company expands its Bitcoin holdings and aligns its operations to support this strategy, it remains a key player in the evolving landscape of digital finance. With nearly 500,000 BTC in its portfolio, Strategy is well-positioned to benefit from the future growth of the cryptocurrency market.

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Author Sean FA