MicroStrategy, a US software company, has surpassed countries in terms of bitcoin holdings, owning over $14 billion worth of bitcoin. With more than 1 percent of all bitcoins in existence, MicroStrategy now holds more bitcoin than the United States itself. Discover how MicroStrategy's unique bitcoin strategy has made it the largest corporate holder of bitcoin globally.
MicroStrategy: The Largest Holder of Cryptocurrency
( Credit to: Au )
MicroStrategy, a US software company, has emerged as the largest holder of cryptocurrency in the world, surpassing even countries in terms of bitcoin holdings. With over $14 billion worth of bitcoin, MicroStrategy now owns more than 1 percent of all bitcoins in existence.
MicroStrategy's unique bitcoin strategy and solid track record as an operating company have led to its significant bitcoin holdings. The company recently announced the purchase of an additional 25,250 bitcoins in the first four months of 2024, bringing its total holdings to 214,400 BTC. This makes MicroStrategy the largest corporate holder of bitcoin globally, with more than 10 times the amount held by the second-largest public company, Marathon Digital Holdings.
MicroStrategy's Bitcoin Strategy and Success
MicroStrategy's CEO, Phong Le, attributes the company's substantial bitcoin holdings to its unique bitcoin strategy and solid track record as an operating company. The average purchase price of the company's bitcoins is $35,180 per bitcoin.
Despite price fluctuations, MicroStrategy remains committed to holding onto its bitcoins, as founder Michael Saylor has frequently expressed his intention not to sell. The company structured its balance sheet to withstand adversity and hold onto its bitcoins, adopting a long-term approach that has proven successful, especially during major downturns in the crypto market.
MicroStrategy Surpasses the United States in Bitcoin Holdings
MicroStrategy's substantial bitcoin holdings have surpassed even the United States itself. While the United States holds 207,189 BTC valued at $13.5 billion, MicroStrategy now holds over $14 billion worth of bitcoin, making it the largest holder of cryptocurrency in the world.
This data, gathered by Bitcoin Treasuries, a platform that tracks bitcoin holdings of various entities, highlights the growing acceptance and adoption of bitcoin in the corporate world. MicroStrategy's confidence in the cryptocurrency and its commitment to holding onto its bitcoins solidify its position as a prominent player in the cryptocurrency market and a symbol of the digital currency's potential.
Bitcoin's Recent Surge and MicroStrategy's Role
The recent surge in the price of bitcoin can be attributed to two significant events. Firstly, the US Securities and Exchange Commission (SEC) approved the first-ever spot exchange-traded funds (ETFs) for bitcoin in January. This move brought billions of dollars of institutional investment into the market, boosting its value.
The second event was the "halving," which occurs approximately every four years. During this event, the rewards for mining bitcoin are halved. The decrease in supply, combined with increasing demand, led to bitcoin reaching a new all-time high in March, surpassing $73,000.
MicroStrategy's substantial bitcoin holdings not only demonstrate its confidence in the cryptocurrency but also highlight the growing acceptance and adoption of bitcoin in the corporate world. As the company continues to hold onto its bitcoins, it remains a prominent player in the cryptocurrency market and a symbol of the digital currency's potential.