Strategy once again invested $2.46 billion to increase its Bitcoin holdings, with corporate holdings surpassing 628,000 coins, valued at $71 billion.

The largest corporate holder of Bitcoin, Strategy (formerly MicroStrategy), has recently made another significant purchase, acquiring 21,021 Bitcoins at an average price of $117,526, amounting to approximately $2.46 billion, raising its total holdings to 628,791 coins, valued at over $71 billion. This is the third largest single purchase in the company's five-year Bitcoin investment history, highlighting its strategy of continuously increasing its Crypto Assets. Due to the impact of new accounting standards, its holdings recorded an unrealized gain of $14 billion in the second quarter, and the company's stock price has risen more than 3000% since entering the Bitcoin market.

Strategy company Bitcoin holdings exceed 628,000 coins The software company Strategy, led by Bitcoin staunch supporter Michael Saylor, has once again become the focus. The company spent approximately $2.46 billion to acquire 21,021 Bitcoins (BTC) in the past week (from July 28 to August 3).

This large-scale increase in holdings has brought its total Bitcoin holdings to an astonishing 628,791 coins. Based on current market prices, the total value of its Bitcoin assets has exceeded 71 billion USD. According to data from BitcoinTreasuries.net, Strategy firmly holds the top spot in the global corporate Bitcoin holdings ranking, with a holding volume far exceeding the second place MARA Holdings (50,000 coins), fully demonstrating its strong financial strength and firm belief in Bitcoin.

High Price Strategy and Market Leading Effect The average price of this purchase reached as high as $117,526 per coin, the second highest purchase average in Strategy's history, only behind the record of $118,940 set last month. Saylor successfully transformed the company from a traditional software provider into a global leader in enterprise-level Bitcoin buying and utilized innovative financial strategies to support its ongoing acquisitions.

The holdings strategy of Strategy not only solidifies Saylor's immense influence in the encryption field but also leads a new trend for companies to allocate digital assets. Driven by the new regulatory framework and legislation aimed at establishing the U.S. as a global crypto center (which has also been advocated by President Trump since his campaign last year), several listed companies, including Trump's social media company, are following Strategy's example by incorporating Bitcoin into their corporate reserve strategies.

Financing Strategy and Shareholder Value Commitment To support the massive Bitcoin acquisition, Saylor has utilized various financing methods such as common stock, preferred stock issuance, and debt instruments. In late July, the company just launched its latest round of preferred stock issuance named "Stretch."

In the second quarter financial report, Strategy announced that its Bitcoin Holdings recorded an unrealized gain of $14 billion, primarily due to the recent rebound in Bitcoin prices and a new accounting standard requirement (which requires companies to revalue their Bitcoin assets at fair value).

In response to market concerns about its frequent issuance of securities and the high premium on stock valuations (as pointed out by critic Jim Chanos), Saylor made an important commitment to investors: the company will not issue new common stock at a price lower than 2.5 times its net asset value unless it is used to pay interest on debt or preferred stock dividends. This commitment is aimed at protecting the value of existing shareholders.

Stock Price Surge and Future Trends Since first venturing into Bitcoin five years ago, Strategy's stock ticker MSTR has skyrocketed over 3000%, significantly outperforming Bitcoin itself as well as major indices like the S&P 500 and Nasdaq 100. The company's two largest Bitcoin purchases in history occurred last November, amounting to $5.4 billion and $4.6 billion.

However, it is worth noting that on Monday (August 5th), Strategy did not announce a new purchasing plan as it has been accustomed to doing for the past few months. This may indicate that the company is reevaluating the pace of its bi-weekly purchasing strategy. There is currently no official further comment on what the company's next steps will be, whether it will continue to increase holdings or temporarily wait and see, leading to market speculation.

Conclusion: Michael Saylor and his company Strategy have again made a massive purchase of over $2.4 billion, showcasing their absolute strength as a "Bitcoin corporate whale" and a long-term bet on digital assets. Against the backdrop of Bitcoin prices stabilizing and rebounding, along with the gradually clarifying regulatory environment in the U.S., Strategy's continued accumulation not only brings them significant paper gains but also profoundly affects the landscape of corporate asset allocation. Whether their promised shareholder protection measures can quell doubts and if their subsequent Bitcoin investment strategy will be adjusted will be the focus of attention for both the crypto market and traditional finance.

BTC-1.15%
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • Comment
  • Share
Comment
0/400
No comments
Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate app
Community
English
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)