MicroStrategy Incorporated a Nasdaq listed software and business intelligence company, said it would buy more bitcoin by selling up to $500million in Class A stock. According to a filing filed with the U.S Securities and Exchange Commission on Friday, Bloomberg reported.
MicroStrategy purchases 500 million shares of bitcoin to purchase more
MicroStrategy has announced that it will enter into a sales agreement with Cowen and Company, LLC and BTIG, LLC in order to sell up to $500,000,000 of Class A common stock. It intends to keep all future proceeds to purchase additional Bitcoin and Grow a business software.
According to the filing, the stock offering will be used “generally corporate purposes”, including the purchase bitcoin.
Michael Saylor (CEO of MicroStrategy Corporation and one of the most vocal advocates for Bitcoin), handed his CEO position to his deputy in August.
Saylor will be the executive chairman and plans to focus his attention on hoarding cryptocurrency.
MicroStrategy doesn’t mind betting on Bitcoin even though prices are low. MicroStrategy, a business intelligence, software and cloud computing company, hopes to make a large cash-out of the inevitable price rises over the next few decades, as the demand for Bitcoin will exceed the supply in the next decade.
The board of a publicly traded company approved bitcoin as its primary reserve asset. They did not consider bitcoin an alternative but also considered it a viable option. fiat But has made a number of targeted acquisitions.
MicroStrategy Incorporated continued to buy the dip despite the loss. On June 30, it purchased 480 Bitcoins (BTC), worth about $10 million.