The CEO of MicroStrategy announced the company has purchased an additional 480 bitcoin, netting a total treasury of 129,699 BTC amid market downturns.
- Michael Saylor, CEO of MicroStrategy, announced the company has purchased an additional 480 BTC for its treasury holdings.
- The company now holds a total of 129,699 BTC with a total cost basis of $3.8 billion.
- Saylor recently provided a list of 10 things bitcoins needs to become a stronger asset.
Michael Saylor, CEO of Bitcoin bull company MicroStrategy, announced the firm purchased an additional 480 BTC for $10 million, with an average cost of $20,817 per bitcoin.
The software analytics company now holds 129,699 BTC with a $30,664 average price – noting a $3.8 billion cost basis. However, the current bitcoin holdings in treasury for Microstrategy are valued at $2.5 billion.
The CEO has come under fire of late for his staunch support of bitcoin as its price has fallen amid the contagion currently suffocating the broader market. Saylor recently did an interview with Bloomberg where he discussed bitcoin in a general sense, but also noted his list of 10 requirements bitcoin needs to become a stronger asset over the next decade.
Indeed, one may mistakenly assume that his list of requirements suggest a lack of faith in bitcoin as an asset, if it needs to become stronger over time. However, this is not the case as Saylor is building a case for institutional adoption which will drive market cap through clearer regulation, not a betterment of the technology. Furthermore, the CEO clarified that while bitcoin can achieve a grander level of institutional adoption over the decade, it is still the best performing asset the company could have chosen.
“We did a lot of backtesting and I’ve gone back and looked at the numbers,” Saylor explained in the interview. “On August 10, 2020 when we announced our $250 million bitcoin buy, since then, bitcoin is up 72%.”
In addition, Saylor provided the returns of other typical assets held for the long-term which included: the NASDAQ (-2%) , gold (-9%), S&P 500 (+9%), and single-family homes (+26%).
Following the list of assets bitcoin outperformed since the initial purchase, Saylor concluded his thoughts in the interview by saying:
“The bottom line is that the bitcoin strategy is 10x better than any other alternative,” Saylor concluded. “So, no. I don’t regret it.”
Truly, one thing can be said of the consistent acquisition of bitcoin from MIcroStrategy: It is a long-term strategy extending past a decade, and neither Saylor nor the company seem to have any regrets.