- Michael Saylor’s MicroStrategy bought 2,395 BTC for $42.8 million in cash between November 1 and December 21, 2022.
- He then sold 704 BTC at a loss on Dec. 22 to make up for earlier capital gains.
- MicroStrategy then bought 810 BTC on December 24.
Software analytics company MicroStrategy has sold bitcoin for the first time since it began adding the digital currency to its treasury in 2020.
The sale was completed on December 22, 2022, according to a presentation with the United States Securities and Exchange Commission (SEC). The move was carried out in order to generate a net tax benefit, as the losses involved in the sale can offset previous capital gains, according to the filing. Two days later, MicroStrategy bought back more bitcoins than it sold, albeit at a higher price: $16,845 per BTC when buying 810 bitcoins versus $16,776 when selling 704 bitcoins.
A larger purchase preceded the sale. MicroStrategy purchased 2,395 bitcoins between November 1 and December 21, 2022, before embarking on the tax loss collection strategy. The purchase cost around $42.8 million, which translates to an average price of $17,871 per bitcoin, including fees and expenses.
Ultimately, the transactions resulted in an increase in MicroStrategy’s bitcoin holdings by 2,500 BTC. The company led by Michael Saylor now owns 132,500 BTC, purchased for around $4.03 billion at an average price of $30,397 per bitcoin. As a result, the Virginia-based company is currently facing an unrealized loss of more than $1.8 billion.
