Nasdaq-listed MicroStrategy bought 271 BTC for $15 million. The firm increased its digital gold reserves to 91,850 BTC.
May 14, 2021, | AtoZ Markets – MicroStrategy, the business intelligence firm that has made bitcoin (BTC) its main treasury reserve, said it purchased about 271 more of the leading cryptocurrency for $15 million in cash.
MicroStrategy has purchased an additional 271 bitcoins for $15.0 million in cash at an average price of ~$55,387 per #bitcoin. As of 5/13/2021, we #hodl ~91,850 bitcoins acquired for ~$2.241 billion at an average price of ~24,403 per bitcoin. $MSTRhttps://t.co/EwZnRkAt6k— Michael Saylor (@michael_saylor) May 13, 2021
The average purchase price of the last batch of bitcoin was around $55,387 per coin.
In August 2020, MicroStrategy was the first public company to convert a portion of its equity capital of $250 million into the first cryptocurrency. Later, the firm’s board of directors approved a policy of increasing investment in bitcoin at the expense of cash reserves.
In December, MicroStrategy used debt financing to buy cryptocurrency for the first time . The company placed $650 million in convertible bonds.
In February 2021, the software provider held a new issue of debt securities for more than $1 billion and again invested the funds raised in bitcoin.
In March, the firm continued to transfer free funds into the first cryptocurrency, investing first $15 million , then $10 million, then again $15 million. MicroStrategy bought bitcoins for the same last amount in April, and the company promised to continue investing.
The firm’s cryptocurrency is worth over $4.57 billion at the time of writing, with an average purchase price of $24,403 per bitcoin.
According to Bitcoin Treasuries, the share of digital asset reserves in the company’s market capitalization is 93%. The software provider’s stock quotes have already shown a correlation with the bitcoin price.
As AtoZ Markets reported, the UK’s largest bank HSBC banned customers from purchasing MicroStrategy securities through its online platform. The institution explained the decision by a change in policy regarding “virtual currencies like Bitcoin and Ethereum and other digital assets.”
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