MicroStrategy continues to accumulate bitcoins, aided by a sizable discount on a loan from Silvergate Bank.
MicroStrategy has announced the full payment of a $205 million bitcoin collateralized loan at a 22% discount for $160 million, along with the acquisition of an additional 6,455 BTC, bringing its total holding to 138,955 BTC.
According a tweet by Chairman Michael Saylor, bitcoin was purchased at an average price of ~$29,817 per bitcoin. The loan was through the now-collapsed Silvergate Bank, which explains the steep discount on the loan paid by MicroStrategy.
MicroStrategy continues to have the largest public corporation bitcoin holdings, with second in line Marathon more than 100,000 bitcoin less than MicroStrategy.
MicroStrategy started buying bitcoin in August 2020 and only sold it for the first time in December 2022 in order to collect tax losses. Even then, he continued to grow his bitcoin collection, acquiring 2,500 bitcoins shortly after the sale.
MicroStrategy also recently announced plans to launch enterprise infrastructure services and content monetization solutions using the Bitcoin Lightning Network. Michael Saylor, who was the company’s CEO since its inception, changed his role at the company in August 2022 to focus more on the company’s stated mission of promoting Bitcoin adoption and development.
Today’s news of a further bitcoin acquisition by the company reiterates its belief in the long-term viability of its bitcoin investment and shows that large entities continue to acquire bitcoin as the price has risen in recent weeks.
