MicroStrategy CEO Michael Saylor stated to shareholders that his company intends to “vigorously pursue” its reserve assets strategy to purchase and hold more Bitcoin.
According to Bitcoin Treasuries, Saylor’s publicly traded company holds the most Bitcoin (BTC), with 129 218 BTC. These coins are valued at $5.1 billion. MicroStrategy purchased 4,197 additional coins on April 5.
MicroStrategy’s second-place finisher in the hodling race, Tesla, has 43,200 BTC worth approximately $1.7 billion.
MicroStrategy’s 2022 Proxy statement, filed with the SEC April 14, praised Saylor’s company’s continued success in adding BTC to its Treasury and adding value to shareholders and customers. MicroStrategy paid $3.9 billion to acquire the BTC in its Treasury, which translated into a paper profit margin for $1.2 billion. In the letter, Saylor wrote:
“Our parallel strategy for acquiring and holding Bitcoin has been a huge success.”
Also, the letter states that Microstrategy’s BTC holdings are in good shape. However, it made it difficult to get liability insurance for the company’s executives. Saylor, therefore, has paid for the insurance.
MicroStrategy’s 68.1% ownership means Saylor can do whatever he wants at the company. This helps to explain why so many companies are not following his lead. Since 2020, he has been a vocal advocate for Bitcoin and uses his position in order to reach global audiences.
Mar. 29, the MacroStrategy subsidiary of Saylor’s software firm said it would use $205 million obtained in a Bitcoin-collateralized loan from Silvergate Bank to buy more BTC. Saylor announced that this was the first time his company had used its BTC holdings to “productive collateral.”
Despite the global headwinds caused by inflation, war and interest rate rises MicoStrategy (LUNA), which has been buying tens to millions of dollars of Bitcoin at a given time, has helped maintain some confidence in Bitcoin prices. Terra’s Bitcoin holdings now stand at 800 coins less than Elon Musk’s Tesla’s, which has the second highest number of BTC among publicly traded businesses.
Related: Bitcoin drops on Wall Street, DOGE jumps on Elon Musk’s Twitter offer
According to Cointelegraph data, Bitcoin has fallen 2.65% in the last 24 hours trading at $40.109
Eileen Wilson –Technology and Energy
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