MicroStrategy will raise another $ 600 million to buy bitcoins

MicroStrategy Inc. (NASDAQ: MSTR), which bills itself as "the largest independent publicly listedbusiness intelligence companies "is going to holdsecond round of selling $ 600 million of convertible bonds. The proceeds will be invested in bitcoin. Only accredited investors can become buyers.

The maturity date is February 15, 2027,if the company does not buy or convert the securities earlier. After February 20, 2024, MicroStrategy will be able to redeem all or part of the bonds. The securities can be converted into cash, class A ordinary shares, or a combination of these assets. In the wake of this news, the bitcoin price crossed the psychologically significant $ 50,000 mark.

MicroStrategy held a similar action in December last year. The company initially planned to raise $ 400 million through convertible bonds. However, later the amount increased to $ 650 million.

Last August, MicroStrategy boldlystepped into the world of cryptocurrencies, making bitcoin its main reserve asset. The first purchase (21,454 bitcoins worth $ 250 million) took place in the middle of the month. At the time, CEO Michael Saylor said of the firm's selection:

“This investment reflects our conviction thatthat bitcoin, as the world's most widely used cryptocurrency, is a reliable store of value and an attractive investment asset with longer-term growth potential than holding cash. " The company's share price reacted positively to the news.

Another $ 175 million was invested in bitcoin in September -the company controlled 38,250 bitcoins. Sailor said in an interview that his company is trying to maintain its reserves in excess of $ 500 million. Inflation-prone traditional currencies, technology stocks and bonds are not suitable for this purpose. In the current environment, there are only two ways to properly use the surplus capital - this is the buyback of own shares and Bitcoin.

Another large purchase took place in Decembercryptocurrencies - 2,574 bitcoins at a price of $19,427. In total, by that time the company had spent $475 million on bitcoins, including fees and commissions. With the money received from the sale of convertible bonds, the company purchased another 29,646 bitcoins.

By early February, MicroStrategy owned about 71079 bitcoins. The amount of funds earned from these transactions is growing every day, pushing the company's shares and the price of the first cryptocurrency up.

</p></p>