Physical Address
304 North Cardinal St.
Dorchester Center, MA 02124
Strategy Company, the largest public company with Bitcoin on its balance sheet, continues its policy of accumulating Bitcoin despite growing talk of the market entering a clear decline.
The company announced the purchase of 592 Bitcoins for approximately $40 million, with an average price of $67,286 per coin.
This brings its total Bitcoin holdings to 717,722 Bitcoins, with a total purchase cost of approximately $54.56 billion and an average price of $76,020 per Bitcoin.
The latest transactions appear modest compared to previous hefty purchases by the company, which spent more than $1 billion on a one-time purchase of 13,627 Bitcoins about a month ago.
At the time, the company’s unrealized profits exceeded $10 billion, benefiting from near-historic peak Bitcoin trading.
But the situation has changed fundamentally.
With the price of Bitcoin falling to around $66,200, Strategy currently faces nearly $7 billion in unrealized losses due to the difference between the market price and the average purchase cost.
To fund the latest transaction, the company sold approximately 297,940 Class A shares through its over-the-market (ATM) program.
The company still has strong financing capabilities in the future, with approximately $37.4 billion in securities available for sale, including $7.8 billion in MSTR shares and $20.3 billion in STRK shares.
Despite growing concerns that the downtrend will continue, The Strategy appears to be sticking to its long-term approach, continuing to buy even as the margin of safety shrinks and Bitcoin is about 50% off its all-time peak.
Also read:
XRP Fund’s Momentum Is Losing… Is This Paving the Way for an Unexpected Move?
Bitcoin whales are selling, individuals are buying: Is this enough to support Bitcoin’s price?
