Michael Saylor’s MicroStrategy Adds $76M BTC to Bitcoin Treasury, MSTR Stock Gains

Key Insights:

• Bitcoin treasury company MicroStrategy has acquired another $76 million worth of BTC.
• Now, the total Bitcoin holdings of the company stand at 762,099 BTC.
• The company shifted its funding strategy from STRC equity sale to Class A Common Stock.

Michael Saylor’s MicroStrategy (now Strategy), the biggest publicly traded corporate holder of Bitcoin (BTC), again added $76 million worth of BTC to its reserve recently. However, the amount of Bitcoin they bought was lower than last week’s buying spurt.

Michael Saylor’s MicroStrategy Buys More Bitcoin

MicroStrategy reported in a filing to the U.S. Securities and Exchange Commission on Monday that it had bought 1,031 BTC at a cost of about $76.6 million. The Bitcoin stash was purchased at a mean price of $74,326 per BTC, which is a little below the cumulative average cost of 75,694.

After the announcement, the MSTR stock value increased by 2.57% to $139.14 on Monday. The new addition now places MicroStrategy’s Bitcoin treasury at a total of 762,099 BTC.

Moreover, the firm revealed that it has accumulated an estimated cost of $57.69 billion to create its own BTC treasury over the years.

The latest takeover represents a sharp decline in the purchase rate after two much larger acquisitions in previous weeks. Earlier this month, MicroStrategy announced purchasing 22,337 BTC in a purchase worth approximately $1.6 billion, which is one of its largest single purchases so far.

The acquisition was preceded by another acquisition of 17,994 BTC worth around $1.3 billion.

MicroStrategy News: Funding Initiative Witnesses A Shift

In the meantime, funding for the latest purchase also differed from the previous week’s approach. The 22,337 BTC purchase of MicroStrategy was largely funded by the issuance of perpetual preferred equity, which is referred to as STRC.

The STRC equity sale raised nearly $1.2 billion, which funded around 75% of the purchase earlier this month. However, the company resorted to its Class A common stock to complete the latest BTC acquisition on Monday.

Overall, MicroStrategy has purchased 41,362 BTC during the month of March, and used nearly $2.93 billion for such acquisitions. Though the buying activity goes on, the decline in Bitcoin price has affected the value of its holdings.

Based on the information provided by CoinGecko, the company’s BTC reserve’s value is down by 7%. The current value stands at approximately $54.4 billion, on the day of reporting, with BTC trading at $71,446 at press time.

H100 Group Also Advances BTC Treasury Strategy

Meanwhile, the interest of the corporations in the Bitcoin treasury strategies is surging outside of the United States. Publicly-listed H100 Group, with its headquarters in Stockholm, stated that it is going to multiply its exposure to Bitcoin via acquisitions.

The company reported having signed a letter of intent to purchase Norwegian companies Moonshot AS and Never Say Die AS. Assuming the transaction succeeds, it would enable H100 to own nearly 3,500 BTC of Bitcoin.

This deal would put it in the list of the largest Bitcoin treasury companies in Europe, mirroring the success of MicroStrategy in the U.S.

The offered deal is a share-based deal with no cash element and a model of Bitcoin-to-Bitcoin exchange. In this model, the proportion of ownership within the new entity will be based on the value of the contribution in terms of BTC that will enable current shareholders not to be diluted.

According to H100, the motivation behind the move is to enhance its institutional positioning, liquidity enhancement, and increase its activities in capital markets. The companies involved in the deal own approximately 2,450 BTC together.

The planned agreements are likely to be finalized by April 22 and completed soon following the annual general meeting of the firm in May, subject to required approvals. The news was met by a slight increase in the H100 share price, which increased by 2% on the day.

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