MicroStrategy Adds Another 480 Bitcoins To Its Reserve Despite BTC Declining In Value Again

MicroStrategy bought more Bitcoin amid volatile crypto market spending new $10 million (about 79 crore) on crypto despite BTC’s value dropping to 11-day low of just over $19,000 ( about 15 lakhs). The US-based business intelligence firm has now spent more than $3.98 billion (approximately Rs 31,440) on Bitcoin and owns 129,699 digital coins, according to a statement from CEO Michael Saylor. It also lost $1.3 billion (about Rs 10,270) since the price of the cryptocurrency dropped.

According to the US SEC Apply for 8K CZKMicroStrategy purchased an additional 480 Bitcoins, with an average price of $20,817 (approximately Rs 16.5 lakh) per Bitcoin.

MicroStrategy currently holds nearly 130,000 BTC (worth $2.61 billion or around Rs 20,616), which it bought back for around $4 billion (approximately Rs 31,592) at an average price of $30,664 (approximately Rs 24 lakh). . The company boasts the largest BTC storage of any public company to date; Tesla is the second largest with 42,902 BTC ($862 million or about Rs 6,810. 6,810 crore).

Price of Bitcoin now just under $20,000 (about Rs 15.8 lakh) – 70% below its all-time high in November of nearly $69,000 (about Rs 54.5 lakh), according to CoinMarketCap data.

Last month, MicroStrategy’s Chief Technology Officer (CTO), Phong Lee tell shareholders that if Bitcoin price falls below $21,000 (approximately Rs 16.6 lakh), the company will face a margin call on Loan of $205 million (approximately Rs 1,620) that it takes March to buy more BTC. A margin call in MicroStrategy’s case could mean a forced sale of Bitcoin holdings to avoid further loss to shareholders. But CEO Michael Saylor doesn’t seem to be worried by the ongoing crypto winter.

Earlier this month, MicroStrategy CEO put on twitter to remind followers and investors that the company has “anticipated volatility and balance sheet structure so it can continue to HODL through adversity.”