MicroStrategy Buys More Bitcoin
Summary
MicroStrategy Announces Buying 205 Bitcoins for $10 Million US Dollars
MicroStrategy Now Holds $2.196 Billion Dollars Worth of Bitcoin
Bullish Signal for Bitcoin as More Corporations Are Expected to Follow
Background
Bitcoiners,
On March 5th, 2021, MicroStrategy, a publicly listed company on the stock exchange ($MSTR), announced that it bought 205 Bitcoins for about $10 million in cash, at an average price of about $48,888 per Bitcoin.
As of today, MicroStrategy now holds 91,064 Bitcoins acquired for about $2.196 billion at an average price of about $24,119 per Bitcoin.
It may seem odd that a publicly traded company founded in 1989 is transferring all of its assets directly into Bitcoin, but CEO of MicroStrategy, Michael Saylor, has good reasoning behind the recent actions:
"Bitcoin is a bank in cyberspace, run by incorruptible software, offering a global, affordable, simple, & secure savings account to billions of people that don’t have the option or desire to run their own hedge fund."
- Michael J. Saylor, CEO
On August 11th, 2020, MicroStrategy revealed its first bitcoin purchase worth $250 million - at the time, one of the largest cryptocurrency acquisitions made by a publicly traded company. At the time, Bitcoin was trading for about $11,500 per Bitcoin.
Fast forward half a year later, MicroStrategy is continuing to buy Bitcoin.
Quick Story
I had never heard of MicroStrategy or Michael Saylor before the year 2020. Now, I own shares in MicroStrategy because I value what Michael Saylor has to say. I value Michael Saylor’s opinion because he studied Aeronautics & Astronautics at Massachusetts Institute of Technology (MIT).
I personally have been fascinated with science and space since age 12. I originally went to Penn State University to study Aerospace Engineering in 2014. I joined Penn State’s Lunar Lion Club as an undergrad in 2014. Below is an email I posted on my Instagram back in 2015:
Why is this Important?
The announcement of MicroStrategy’s recent Bitcoin purchase proves that there is conviction behind Bitcoin as the ultimate investment to store value in 2020-2021. A publicly traded company is continuously buying billions of dollars worth of Bitcoin.
As a reader, you most likely do not have billions of dollars to invest, but you do have some amount of money sitting in a bank account in which you can invest. Follow what the smart people are doing and buy Bitcoin.
I would not suggest anything to you that I am not personally doing. I wonder which publicly traded company will be next to announce they are buying Bitcoin? Hmmmm.
Happy Friday,
-Pod
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Eric Podwojski
Founder, Bitcoin EDU
Twitter: @epodrulz
Good read! Thanks for making it easy to understand since I am new to the hoodie gang.