TLDR
- In this recent move, Strategy managed to acquire a hefty Bitcoin stock of 20,356 BTC at an average individual price tag of $97,514 per coin.
- Now sitting on a Bitcoin treasure of 499,096 coins, Strategy's holdings represent a noteworthy 2.3% of the entire Bitcoin reserve, worth about $33.1 billion.
- To make this purchase a reality, Strategy successfully tapped into $2 billion through a zero-coupon convertible note offering.
- This Bitcoin shopping spree forms a crucial part of Strategy’s grand '21/21 Plan', which aims to amass up to $42 billion for future Bitcoin buys.
- Despite the recent downturn in the crypto space, heavyweights like BlackRock show rising interest in Strategy's strategies.
Once known as MicroStrategy, now simply 'Strategy', has struck another Bitcoin deal, edging closer to holding half a million BTC. Between February 18 and February 23, 2025, they bought 20,356 Bitcoin, costing them around $1.99 billion, with each Bitcoin fetching an average price of $97,514.
This newfound purchase elevates Strategy’s total Bitcoin hoard to a staggering 499,096 BTC, pegged at $33.1 billion in today's market. Since 2020, the company has been gradually acquiring Bitcoin, with its average purchase price now standing at $66,357 per coin.
The news, shared by Michael Saylor, Strategy's executive chairman, made its way to the public via social media on February 24, with official details filed with the U.S. SEC in an 8-K filing.
Strategy has acquired 20,356 BTC for $1.99B at $97,514 per bitcoin and has achieved BTC Yield of 6.9% YTD 2025. As of 2/23/2025, we hodl 499,096 $BTC acquired for $33.1 billion at $66,357 per bitcoin. $MSTR https://t.co/mNWDaXRE7N
— Michael Saylor⚡️ (@saylor) February 24, 2025
A $2 billion convertible note offering, which Strategy finalized recently, footed the bill for these Bitcoins. These zero-coupon notes are set to mature by March 1, 2030, and allow conversion to Strategy’s Class A common stock with a conversion price set at $433.43 per share.
Strategy is driving a bold vision that redefines their cryptographic treasury approach.
In a clear corporate declaration, Strategy announced that proceeds from their latest financial movement will support general business needs, including securing more Bitcoin and funding operational costs, netting $1.99 billion after all fees.
With a total Bitcoin stash boasting about 2.3% of its ultimate supply of 21 million, Strategy's investments stand out even more considering that 3-4 million Bitcoins might be lost for good.
Adopting a forceful Bitcoin purchasing game plan, affectionately termed the '21/21 Plan', Strategy aims to secure $42 billion, relying on a mixture of equity and debt instruments to back future Bitcoin buys over the span of three years.
I doubt this depicts what I actually achieved last week. pic.twitter.com/57Qe7QfwKm
— Michael Saylor⚡️ (@saylor) February 23, 2025
As they ambitiously strive toward their $42 billion goal, Strategy has reportedly raised close to $20 billion. President and CEO Phong Le highlighted their tactics, stating, 'Embracing our role as a Bitcoin Treasury Company allows us to leverage extra capital to multiply our BTC holdings for a greater return.'
Following their latest acquisition announcement, Strategy's shares, under the ticker MSTR, noted a climb to $303.50, a 1.27% increase in pre-market trading. Over the past year, the company's stock performance has rocketed by 345%, outpacing Bitcoin's rise of 86.7% during the same timeframe.
In a dramatic shift from a software-centric firm to the dominating corporate Bitcoin collector, Strategy's cache of Bitcoins far surpasses other publicly-declared company holdings. Bitcoin Treasuries reveal that Block, once called Square, holds around 8,027 Bitcoins, with Tesla trailing at 5,465 Bitcoins.
Strategy isn't solely captivated by Bitcoin. Despite the crypto market's overall decline in total capitalization from a record high of $3.90 trillion to approximately $3.31 trillion now, institutional investors remain bullish about digital assets.
This positive vibe partly hinges on promising regulatory changes anticipated as Donald Trump clinched the U.S. presidency in November 2024. During his campaign, Trump vowed to enact crypto-friendly regulations and orchestrated a task force to navigate regulatory landscapes since assuming office in January 2025.
Former CEO Michael Saylor openly voiced his interest in contributing to digital asset policy development under the Trump administration. Saylor shared with Bloomberg his willingness to serve on a digital asset advisory panel if invited.
Institutional fixation on Strategy's Bitcoin-centric methodology is gathering momentum. Earlier in February, powerhouse investment firm BlackRock upped its stake to a five percent ownership slice, highlighting mainstream financial circles' thirst for Bitcoin exposure through publically-owned enterprises.
Though Strategy chooses not to publicize exhaustive security details for its colossal Bitcoin cache, Saylor has revealed their 'quad-layered' cold storage framework, which encompasses diverse geographic locations, sophisticated encryption methods, and alliances with institutional custody service providers.
It’s reported that Strategy deploys multi-signature wallets demanding multiple private keys to execute transactions, with keys decentralized across various systems and geographic locations. According to disclosures, no individual has access to all keys, and the company ensures robust backup and recovery protocols are in place.
Beyond Strategy's financial maneuvers, other contenders like Semler Scientific, Rumble, and Metaplanet have jumped on the Bitcoin bandwagon this year. At the time this message was written, Bitcoin's value sits near $95,389, recording a slight dip of 0.6% in the last day and down nearly 10% in the last month post the electoral bounce.
Nearing the symbolic half-million Bitcoin mark is not just a simple numerical goal—it's a psychological frontier in the realm of institutional digital currency adoption. Given current market conditions, this level of holdings equals over $40 billion in digital assets controlled by a company that once primarily dealt in business intelligence.
As Strategy approaches this pivotal half-million benchmark, the crypto community alongside traditional finance experts are keen to observe whether this concentrated ownership will fortify or test Bitcoin’s ethos as a decentralized store of wealth.
