MicroStrategy has unveiled plans to invest $ 400 million in securities offerings into Bitcoin (BTC).
An announcement released yesterday explains the firm wants to issue $ 400 million in bonds in the form of securities debt that can be converted into the issuance of company shares.
At $ 400 million it will indirectly strengthen the firm's holdings of 20,833 BTC which leads to the total crypto-owned MicroStrategy reaching almost 62,000 BTC.
For now, the firm will pay half a year interest to bondholders until December 2025. The firm is also entitled to claim bonds in cash starting December 20, 2023.
An announcement by MicroStrategy is also likely to offer an additional $ 60 million in bonds on previous purchases within 13 days of starting the offer.
Securities will be issued under Law 144 of the Securities Act and are available to qualified institutional investors only.
MicroStrategy began gaining attention in the crypto industry in August after the firm chose Bitcoin as its major reserve asset after buying 21,454 BTC for $ 250 million.
The firm again bought 16,796 BTC for $ 175 million the following month and most recently, MicroStrategy added another BTC asset of 2,574 BTC to the value of $ 50 million, bringing the firm's total crypto holdings by 40,824 BTC.
The current market value of the firm's BTC assets is worth nearly $ 784 million. This means that the firm is now at 65% of its $ 475 million investment.
