Strategy bought 1,587 Bitcoin last week for $100 million. The purchase pushes its total stash to 846,842 BTC, making it the largest publicly known corporate holder. The company raised $209 million through MSTR stock sales to fund the acquisition.
Funding via MSTR stock sales
Strategy's latest Bitcoin buy was paid for by selling shares of its own stock. The company raised $209 million through an at-the-market offering, a method it has used repeatedly to generate cash for Bitcoin purchases. The program lets Strategy issue and sell MSTR shares gradually, avoiding a single large dilution event.
The $209 million raise is the latest in a series of stock sales this year. Strategy has not disclosed how many shares were sold or at what average price, but the proceeds went directly to the Bitcoin purchase.
Total holdings cross 846,000 BTC
With 846,842 Bitcoin, Strategy now controls roughly 4% of the total supply that will ever exist. The company started buying Bitcoin in 2020 and has never sold. Its average acquisition price is well below current market levels, though the company doesn't mark its holdings to market in its financial statements.
The size of the hoard makes Strategy a significant player in Bitcoin's liquidity. Any large sale by the company could move the market, but CEO Michael Saylor has repeatedly said the company plans to hold indefinitely.
Strategy hasn't signaled any change to its Bitcoin accumulation strategy. The company continues to use stock sales as its primary funding mechanism. Its next quarterly filing with the SEC will show whether it sold more MSTR shares in the current quarter, which would hint at further purchases.
The company's board has authorized additional share issuances, so the buying could continue as long as the stock trades at a premium to the value of its Bitcoin holdings. That premium has narrowed in recent months, but remains positive.
