MicroStrategy Buys 4,871 Bitcoin for $330M at $67,718 Average Price
MicroStrategy bought 4,871 Bitcoin for $330 million at an average price of $67,718, boosting its holdings to 766,970 BTC and total investment to $58.02 billion at a $75,644 average cost per coin. The purchase was funded with $227 million of variable-rate preferred shares and $72 million of common stock.
1. Latest Bitcoin Acquisition
MicroStrategy acquired 4,871 BTC for approximately $330 million at an average price of $67,718, raising total holdings to 766,970 BTC. This brings its cumulative Bitcoin investment to about $58.02 billion at a blended cost of $75,644 per coin.
2. Financing Through Preferred Shares
The firm funded the latest BTC purchase mainly by issuing $227 million of its variable-rate preferred share (STRC), alongside $72 million in common equity. Preferred share issuance surged after STRC traded above its $100 par value for four consecutive sessions.
3. Impact on Cost Basis and NAV
Buying at $67,718 reduces MicroStrategy’s blended Bitcoin average cost by nearly $8,000 per coin. With a market-cap-to-net-asset-value ratio near 0.85, the equity remains below its Bitcoin-backed asset value, underscoring undervaluation.
4. Competitive Buying Landscape
Over the past 30 days, MicroStrategy added roughly 45,000 BTC while all other publicly traded firms combined purchased just 1,000 BTC. The company now holds about 76% of all Bitcoin on corporate balance sheets, highlighting its dominant treasury strategy.