MicroStrategy to Sell Bitcoin Only If Price Exceeds $30,700 Cost Basis
STRC•MicroStrategy said it will liquidate Bitcoin holdings only if the cryptocurrency’s market price surpasses its average purchase cost of $30,700 per coin to cover potential convertible note obligations. The company currently holds approximately 214,000 BTC on its balance sheet.
1. Sale Conditions for Bitcoin
MicroStrategy’s board approved a policy stipulating that no Bitcoin will be sold unless its market price exceeds the firm’s average cost basis of $30,700 per coin. Sales may also occur to satisfy debt service requirements tied to outstanding convertible notes.
2. Company’s Bitcoin Holdings
As of the latest filing, MicroStrategy holds about 214,000 Bitcoins acquired at a weighted average price of roughly $30,700 per coin. This positions the firm as the largest corporate holder of the cryptocurrency.
3. Impact on Debt Obligations
The sale policy is designed to ensure any liquidation of Bitcoin provides a profit buffer to cover interest and principal on $1.6 billion of convertible senior notes due 2028. Management believes this approach balances fiduciary duties with long-term crypto exposure.
