Breaking: $42 Billion, MicroStrategy plans to go big on Bitcoin (BTC) in coming three years
- MicroStrategy will be raising $42 billion in capital in equity and fixed income securities solely to buy more Bitcoin
- The company is already a holder of a whopping $18 billion worth of BTC
American software company, MicroStrategy has undoubtedly become one of the most Bitcoin (BTC) bullish firms in the world. The company has announced that it is planning to raise a whopping $42 billion over the next three years solely to invest in the digital gold. Notably, the investment is dependent on whether or not the firm will be able to raise the capital in equity and fixed income securities.
In an announcement made during their Q3 financial report release, the firm said,
“announcing a strategic goal of raising $42 billion of capital over the next 3 years, comprised of $21 billion of equity and $21 billion of fixed income securities, which we refer to as our “21/21 Plan.” As a Bitcoin Treasury Company, we plan to use the additional capital to buy more bitcoin as a treasury reserve asset in a manner that will allow us to achieve higher BTC Yield”
Read Bitcoin’s [BTC] Price Prediction 2024–2025
MicroStrategy: Billions of dollar bet on Bitcoin
Interestingly, the announcement comes days after the company’s stock price hit a 25-year record high of $236, with a market cap of $47 billion. Several market speculators owing the credit to BTC’s recent surge. Moreover, the company is already one of the largest institutional investors of the digital gold. So far, the firm’s Bitcoin reserves are over 150,000.
The firm has not made any additional Bitcoin purchases since mid-September. The firm last purchased an additional 7,420 BTCs for $458.2 million. Notably, even though MicroStrategy is planning on adding an additional $42 billion worth of Bitcoins to its profile, it’s current BTC holdings is over $18 billion.
Despite the bullish announcement, Bitcoin’s price has not made a significant move in the past hour. According to CoinMarketCap, at press time, the coin was trading at $72,694.31 with a market cap of $1.44 trillion. The coin has registered an uptrend of over 9% in the 7-day chart with its current trade volume standing at over $40.80 billion.
Subsequently, MicroStrategy is not the only firm standing in Bitcoin’s team. The coin is already present in the treasury of one of the most notable automotive firms – Tesla. Additionally, it was also revealed that Emory University holds $16 million in Bitcoin and Coinbase shares. Multinational software firm – Microsoft also revealed that it would vote on whether or not to invest in the digital gold in December 2024.
