MicroStrategy Inc., the Virginia-based enterprise software firm turned Bitcoin powerhouse, has made significant strides in its ambitious plan to raise $21 billion through stock sales for further Bitcoin acquisitions. Just weeks after unveiling the initiative, the company has already reached nearly half its goal.
In the past week, MicroStrategy sold 3.7 million shares, generating $1.5 billion, which was immediately used to purchase additional Bitcoin. This marks the fourth consecutive week of such acquisitions by the firm, which has become a proxy for cryptocurrency hedge fund strategies.
With approximately $11.3 billion left to be raised through its “at-the-market” share issuance program, MicroStrategy is steadily advancing towards its three-year target. Beyond equity, the firm aims to secure $21 billion through fixed-income securities by 2027, increasing its offerings in this space as well.
Favorable Regulatory Winds
The election of U.S. President-elect Donald Trump, who is expected to create a more favorable regulatory landscape for cryptocurrencies, has further emboldened MicroStrategy’s strategy. Benchmark analyst Mark Palmer noted, “Since the election of U.S. President-elect Donald Trump, who is expected to create a more favourable regulatory environment for crypto, MicroStrategy has leaned into its bitcoin acquisition strategy.”
Notably, the firm has already exceeded its 2025 stock issuance target, raising questions about the overall scale of its initiative. Palmer added, “One of the questions that remains to be answered is whether this implies that the ultimate size of this initiative will exceed the $42 billion that the company had targeted, or if it’s simply a matter that those issuances and purchases are being pulled forward.”
A Growing Bitcoin Treasury
Between November 25 and December 1, MicroStrategy acquired 15,400 Bitcoin tokens at an average price of approximately $95,976, according to a U.S. Securities and Exchange Commission filing. The company has spent over $13.5 billion on Bitcoin since November 11, bringing its total holdings to a staggering $38 billion.
MicroStrategy’s co-founder and chair, Michael Saylor, has redefined the company’s identity by transforming it into what he describes as a “Bitcoin Treasury” firm. The move has resonated with Wall Street, as MicroStrategy’s shares have surged more than 500% this year, outpacing nearly all major stocks.
The strategy is primarily funded through the issuance of convertible notes and the at-the-market share program. However, not all aspects of the cryptocurrency sector have enjoyed similar success. Crypto mining stocks, for instance, have struggled this year following a halving event in April that reduced Bitcoin mining rewards.
MicroStrategy’s bold approach underscores its unwavering commitment to Bitcoin, cementing its status as a trailblazer in corporate cryptocurrency adoption.
