Strategy Purchases 250 Bitcoin for $21.5 Million as Holdings Reach 848,250 BTC
Bitcoin treasury company Strategy (NASDAQ:MSTR) purchased 250 bitcoin for approximately $21.5 million between Oct. 5 and Oct. 11. The acquisitions were completed at an average price of $86,194 per bitcoin. The purchase expands the company's total treasury to 848,250 bitcoin, bought at an overall average price of $75,444 per coin for a cumulative cost of roughly $64 billion including expenses.
Strategy financed the latest transaction primarily by selling 125,183 Class A common shares for about $21 million through an at-the-market equity program, with the remaining $0.5 million drawn from cash reserves. Strategy's total treasury now accounts for more than 4% of bitcoin's total maximum supply limit of 21 million coins, representing approximately $6.6 billion in unrealized gains based on current prices.
Looking ahead, market participants will monitor Strategy's ongoing equity issuance program, which retains $18.8 billion in capacity for additional share sales. While analysts note potential upside in bitcoin prices, equity gains for shareholders could be constrained by ongoing share dilution and corporate financial obligations.
Key points
- Strategy bought 250 bitcoin for $21.5 million between Oct. 5 and Oct. 11 at an average price of $86,194 per token.
- Total corporate holdings reached 848,250 bitcoin, accounting for over 4% of all bitcoin that will ever exist.
- The acquisition was funded by selling $21 million worth of common stock and using $0.5 million from cash reserves.
- Strategy maintains $18.8 billion in stock available for issuance under its current equity sales program.
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How much bitcoin does Strategy hold?
Strategy holds 848,250 bitcoin, purchased at an average price of $75,444 per coin for a total cost of around $64 billion including fees and expenses.
How did Strategy pay for its latest bitcoin acquisition?
Strategy funded the $21.5 million purchase by selling 125,183 Class A common shares for approximately $21 million, using $0.5 million from cash reserves for the remainder.