CEO of MicroStrategy, Michael Saylor, is known for his bullish stance on Bitcoin (BTC). Now, his company, based in the U.S. state of Virginia, has made another large Bitcoin purchase, adding to the already sizeable holdings.

In a post on X (formerly Twitter), Saylor said:

MicroStrategy has acquired an additional 5,445 BTC for approx. US$147.3 million ($229.29 million) at an average price of US$27,053 ($42,110) per Bitcoin. As of 24/9/23, MicroStrategy hodls 158,245 $BTC acquired for approx. US$4.68 billion ($7.28 billion) at an average price of US$29,582 ($46,047.34) per Bitcoin.

Selling Shares to Raise Funds

A SEC filing reveals that MicroStrategy made the Bitcoin purchases between August 1, 2023, to September 24, 2023. The software developer revealed that it planned to raise funds in a SEC filing in August. At the time it planned to raise US$750 million ($1,167 billion) in share sales.

Binance CEO and co-founder Changpeng Zhao (CZ) congratulated the seeming resilience and determination of Saylor and MicroStrategy, accumulating Bitcoin in the current bear market. CZ wrote:

At the current market price, MicroStrategy is in the red with its Bitcoin holding, which seems to be all part of Saylor’s strategy. MicroStrategy started buying Bitcoin in August of 2020, with a long-term investment horizon. “Our strategy is to buy and hold Bitcoin, and the key for us is to be consistent, transparent and responsible in the pursuit of that strategy,” Saylor said in an interview earlier this year.

Changes to Accounting Rules for Crypto Assets

New accounting rules in the United States mean that companies holding Bitcoin and other digital assets need to measure these assets at fair value instead of recognising unrealized losses. The new rules will make companies’ Bitcoin holdings more transparent for investors and was welcomed by Andrew Kang the CFO of MicroStrategy.

Kang said that it would allow MicroStrategy to provide investors with a clearer understanding of their financial status and the worth of their Bitcoin holdings, ultimately supporting investors in making well-informed decisions regarding their investments.

Source: CoinMarketCap

At the time of writing Bitcoin traded at US26,294.05 ($40,929.32) as per CoinMarketCap. Bitcoin price dropped 2% in the past week, when it was trading just under US$26,810 ($41,732). While MicroStrategy is currently in the red with its Bitcoin investment, Saylor has not shown any intentions to sell Bitcoin or slow down accumulating.

The post MicroStrategy Continues Bitcoin Buying, Now Holds Over US$4.6 Billion in BTC appeared first on Crypto News Australia.

---

Filed under: Bitcoin - @ September 26, 2023 2:16 am