- With the addition of 138,955 BTC, MicroStrategy’s total holdings of Bitcoin have climbed to $4.1 billion at an average rate of $29,817 per coin.
- The company’s unrealized loss has dramatically decreased as a result of the recent increase in Bitcoin’s price; previously, it was worth more than $1 billion.
- Traditional finance and cryptocurrency industries suffer great losses when banks and crypto exchanges collapse.
The biggest corporate Bitcoin holder and business intelligence firm, MicroStrategy, has repaid its $205 million debt to the defunct, cryptocurrency-friendly Silvergate Bank. The company also increased its Bitcoin reserve by another 6,455 BTC.
The software company cited a form 8-K filing it made with the U.S. Securities and Exchange Commission (SEC) on Monday to show that the loan from the troubled Silvergae bank was repaid nearly two years early, freeing up the approximately 34,619 BTC that had been held as collateral. MicroStrategy also said it sold shares this year to raise $339.4 million and used the sales profits to pay off the remaining loan balance from Silvergate Bank.
Michael Saylor, MicroStrategy co-founder and former CEO of MicroStrategy, revealed this in a Twitter post, saying that the Virginia-based company “repaid its $205M Silvergate loan at a 22% discount.”
MicroStrategy Adds 6,455 More BTC
MicroStrategy is one of Bitcoin’s most active corporate buyers, with its founder Michael Saylor becoming a vocal advocate for the cryptocurrency. The company made its first Bitcoin purchase in August 2020 and has since accumulated over 138,955 Bitcoins, worth around $5 billion at current prices.
According to the former CEO, the recent addition to the company’s Bitcoin holdings involved 6,455 more BTC, purchased for roughly $150 million at an average price of $23,238 per Bitcoin. The Bitcoin maximalist revealed that the software company now holds 138,955 BTC acquired for approximately $14.14 billion at an average rate of $29,817 per Bitcoin. In a tweet, the MicroStrategy executive chairman said:
According to the filing, MicroStrategy acquired its latest batch of Bitcoin between February 16, 2023, and March 23, 2023. The purchase suggests the company is still bullish on the cryptocurrency’s long-term prospects despite recent price volatility.
Meanwhile, Michael Saylor continues his support for the big crypto with the pinned tweet from 2022 on his Twitter page saying:
“Bitcoin is a swarm of cyber hornets serving the goddess of wisdom, feeding on the fire of truth, exponentially growing ever smarter, faster, and stronger behind a wall of encrypted energy.”
With the ongoing global banking crisis, Saylor has fiercely defended his favorite crypto while criticizing how banks operate. After the fall of Silicon Valley, Signature, and Silvergate banks, earlier this month, he posted charts on Twitter showing that the flagship cryptocurrency has been outperforming the S&P 500 index, Nasdaq, Gold, Bonds, and Silver since August 2020.
According to Saylor, Bitcoin is “unstoppable” because it always works.
As the most significant crypto by market capitalization moves toward what many analysts anticipate will be a strong bull run, the role played by whales like MicroStrategy in the cryptocurrency industry becomes more crucial than ever. With its extensive Bitcoin holdings, cutting-edge technology, and deep industry expertise, MicroStrategy is poised to be a significant player in the crypto space for years to come.
At the time of writing, Bitcoin (BTC) was trading at $26,960, down 3% on the day as FUD on CFTC’s lawsuit against Binance rises. Microstrategy’s (MSTR) share price was exchanging hands at $238 after losing 7% in the last 24 hours, according to data from Google Finance.
