MicroStrategy sets new record with another $5.4B Bitcoin purchase

MicroStrategy is now sitting on 55,000 more Bitcoin after spending an additional $5.4 billion on the cryptocurrency. With the purchase, the company’s Bitcoin reserves total 386,700 BTC.

According to a filing released on November 25, Bitcoin was trading at an average price of $97,862 between November 18 and 24, and the acquisition was conducted during that period.

Year to date, $MSTR's treasury operations delivered a BTC Yield of 59.3%, providing a net benefit of ~112,125 BTC to our shareholders, or ~341 BTC per day. At $100K per BTC, that would equate to $11.2 billion for the year so far, or $34.1 million per day.

— Michael Saylor⚡️ (@saylor) November 25, 2024

MicroStrategy used proceeds from recent equity and debt offerings to finance this large purchase. These consist of a private offering of 0% convertible senior notes due in 2029 and an ongoing at-the-market (ATM) equity program.

The offering of notes closed on November 21 and raised $2.97 billion. Moreover, using its ATM program, the company generated net funds from sales of 5,597,849 shares totaling $2.46 billion.

The overall Bitcoin purchases made by MicroStrategy come to $21.9B

With an average price of $56,761 for each BTC, this latest buy increases MicroStrategy’s cumulative Bitcoin purchase to $21.9 billion. Its build-up of Bitcoin close to its peak price points to great faith in the future worth of the asset.

In its Form 8-K disclosure, MicroStrategy presented a proprietary metric known as “Bitcoin Yield.” This performance indicator is calculated as the percent change in ounces of Bitcoin held to the assumed number of diluted outstanding shares. From 35.2%, the corporation claims its Bitcoin Yield is currently 59.3%.

Likewise, between November 18 and 22 Semler Scientific, a U.S. healthcare corporation, bought 297 Bitcoin (BTC) for $29.1 million. Semler now owns 1,570 Bitcoin overall after making this purchase at an average price of $75,039 per coin.

Semler Scientific also expanded its ATM equity program by an additional $50 million, more than doubling its offering capacity to $100 million. Gross proceeds from the program have already raised $50 million for the firm. According to Semler, the Bitcoin Yield stands at 58.4% as a result of the company’s strategy of deploying Bitcoin as a main treasury asset.

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