Strategy, owned by Michael Saylor, has made another big purchase as it added 13,927 Bitcoins worth about $1 billion, cementing its position as the world’s largest corporate Bitcoin holder.
After this latest transaction, Strategy’s total holdings have increased to 780,897 Bitcoins, leaving them with only about 19,103 BTC left to reach their psychologically significant 800,000 BTC target.
Interestingly, this big purchase did not involve the sale of any other major assets.
Instead, Strategy financed the purchase through the sale of convertible preferred shares (STRCs), which raised about $1 billion. This approach shows how the company is using traditional capital markets to further solidify its holdings in digital assets.
In other words, they are using the ‘old finance to build the future’ of new finance.
The Bitcoins were purchased at an average price of about $71,902 per BTC, which is still lower than the average cost of their entire holdings of $75,577. Although Strategy now owns nearly 781,000 BTC, the company is still not immune to market risks.
Financial reports show that they still incur unrealized losses of around $14.46 billion due to Bitcoin price fluctuations.
However, from a long-term investment perspective, these losses only exist on paper as long as the assets are not sold.
For Strategy, the main focus is not on short-term profits, but on Bitcoin’s long-term potential as ‘digital gold’.
Large purchases by institutions such as Strategy also have a direct impact on market sentiment.
During the same period, inflows into the Bitcoin spot ETF also recorded a strong figure of around $786 million, indicating that institutional interest in Bitcoin is still high.
In addition, geopolitical factors such as international tensions have also affected price movements, causing Bitcoin to move in an unstable range between $70,000 and $73,000.
This combination of factors has put the crypto market in a ‘tug of war’ phase between short-term selling pressure and the confidence of institutional investors.
