In an official announcement, the BTC investor company MicroStrategy has said that it has purchased Bitcoin (BTC) worth $25 Million.
The cloud software company bought 660 BTC between December 30th, 2021 to January 31st, 2022. According to its statement, the company purchased BTC for an average of $37,865.
MicroStrategy Plan Has Always Been To Buy And Hold Bitcoin
In his tweet, the CEO of MicroStrategy, Michael Saylor, disclosed the purchase. He said, “MicroStrategy has purchased an additional 660 bitcoins for ~$25.0 million in cash at an average price of ~$37,865 per bitcoin.”
Moreover, the company has been instrumental in elevating the prices of Bitcoin.
As a part of their investment strategy, MicroStrategy started purchasing crypto in 2020. This helped increase the asset’s price. Michael Saylor has been a strong supporter of Bitcoin. The CEO has even called crypto an egalitarian and utilitarian technology.
The Chief Financial Officer of MicroStrategy, Phong Le, has disclosed their investment plan. Le said, “Our strategy with Bitcoin has been to buy and hold.” Furthermore, the CFO has said that they will continue to pour their money into Bitcoin as long as they have excess cash flows.
Also Read: Bitcoin eyes next resistance while Ethereum gains 6%
MicroStrategy Cautious Due To Crypto Downturn
However, the company is not risking everything to get cryptocurrency. Compared to its previous purchases, the software company has acquired a lesser number of BTC this time.
Moreover, in December 2021, the company made two big BTC purchases. Between November 29th to December 9th, its purchase was 1,434 BTC for an average price of $57,477 per BTC.
From December 9th to December 29th, the company purchased 1,914 BTC for an average price of $49,229 per BTC. The enterprise’s latest purchase is significantly less. This points to MicroStrategy taking extra precautions due to the recent crypto market crash.
Additionally, the company’s shares have fallen by 34% in the last month alone.
The recent fall of MicroStrategy’s shares has also been attributed to the SEC report. The Commission has rejected the company’s BTC accounting practices by using Non-Generally Accepted Accounting Principles. Even the most prominent cryptocurrency, Bitcoin, is now trading at $39,000 from its record-high $69,000 in November 2021.
Today, the cloud-software company owns about 124,391 BTC. This is more than $4.7 Billion in actual prices.
Michael Saylor has not given up on BTC due to the recent downturn. The CEO said they are in it for the long run and have no plans to sell their BTC holdings.
