Microstrategy Buys More Bitcoin — Firm’s Crypto Holdings Grow to 132,500 BTC – Bitcoin News Spotlight

Microstrategy now holds approximately 132,500 bitcoins following its most recent purchases. This year, the world’s largest cryptocurrency has emerged as the “institutional-grade digital asset,” said Microstrategy founder Michael Saylor.

Microstrategy acquires more Bitcoin

Nasdaq-listed Microstrategy Inc. announced Wednesday that it has purchased more bitcoin for its corporate treasury. Michael Saylor, the company’s founder and executive chairman, tweeted Wednesday:

Microstrategy increased its bitcoin holdings by ~2,500 BTC. As of 12/27/22 Microstrategy holds ~132,500 bitcoins acquired for ~$4.03 billion at an average price of ~$30,397 per bitcoin.

In its filing with the U.S. Securities and Exchange Commission (SEC), Microstrategy clarified that the 2,500 coins were acquired between Nov. 1 and Dec. 24 by its wholly owned subsidiary Macrostrategy.

The branch bought approximately 2,395 BTC at an average price of $17,871 per coin between November 1 and December 21. He then sold around 704 BTC at $16,776 per coin on Dec. 22. Macrostrategy then bought about 810 more BTC at $16,845 per coin on Dec. 24. At the time of writing, bitcoin is trading at $16,656.80.

The bitcoin sale in December marked the first time Microstrategy has sold its bitcoins since it began stockpiling cryptocurrencies for its corporate treasury in 2020. The company cited tax reasons for the BTC sale. “Microstrategy expects to carry forward capital losses resulting from this transaction against prior capital gains, to the extent such carry forwards are available under applicable federal income tax laws, which could create a tax advantage,” the filing describes. SEC.

Saylor said in an interview last week:

The highlight of the year is the emergence of bitcoin as an institutional grade digital asset and the clarity that…there is a cryptocurrency that is a digital commodity…Bitcoin is that commodity.

The executive noted that both the SEC chairman and the chairman of the Commodity Futures Trading Commission (CFTC) have confirmed that bitcoin is a commodity.

Saylor has previously explained that Microstrategy is investing in BTC “for the long term”. He added, “Our strategy is to buy bitcoin and hold the bitcoin, so there’s no price target… I expect bitcoin to go into the millions. So, we are very patient. We think it’s the future of money.”

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What do you think about Microstrategy increasing its bitcoin holdings to 132,500 BTC? Let us know in the comments section below.

Kevin Helms

An Austrian business student, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests are in Bitcoin security, open-source systems, network effects, and the intersection of economics and cryptography.

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