In a bold move further cementing its position as a major institutional Bitcoin holder, Strategy has acquired an additional 20,356 Bitcoin for approximately $1.99 billion. The purchase, conducted between February 18 and 23, was disclosed in an 8-K filing with the U.S. Securities and Exchange Commission (SEC) on Monday. The company paid an average price of $97,514 per Bitcoin.
With this latest acquisition, Strategy now holds a staggering 499,096 Bitcoin, valued at more than $47 billion. The company’s total Bitcoin holdings were acquired at an average price of $66,357 per Bitcoin, amounting to a total investment of around $33.1 billion, including fees and expenses, according to co-founder and CEO Michael Saylor. This means Strategy now owns over 2.3% of Bitcoin’s total supply of 21 million.
The purchase follows the completion of Strategy’s recent $2 billion zero-coupon convertible bond offering, announced earlier on Monday. The offering included an option for initial buyers to purchase up to an additional $300 million in bonds. Notably, the company did not sell any additional shares of its Class A common stock under its at-the-market equity offering program during this period.
Michael Saylor had hinted at the acquisition in a cryptic post on X (formerly Twitter) on Sunday, stating, “I don’t think this reflects what I did last week,” referring to the company’s Bitcoin purchase tracker. According to the tracker, this latest batch of purchases ranks as Strategy’s fifth-largest Bitcoin acquisition to date.
Strategy had not purchased Bitcoin in the prior week. However, in its annual report released on Tuesday, the company acknowledged profitability risks, particularly in the event of a significant decline in Bitcoin’s market value. Strategy’s enterprise analytics software business did not generate positive cash flow in 2024, and the company warned of potential higher-than-expected tax liabilities. Unrealized fair value gains on its Bitcoin holdings, it noted, could also be subject to taxation.
In total, Strategy has acquired nearly $23 billion worth of Bitcoin in the past few months alone. This followed a temporary pause in its 12-week Bitcoin buying spree, which was interrupted by its Q4 earnings report earlier this month before acquisitions resumed.
Despite Bitcoin’s price fluctuations in recent weeks, Strategy’s market capitalization remains at $77.4 billion—significantly higher than the net value of its Bitcoin assets. Some investors have expressed concerns over the company’s premium valuation relative to its net asset value and its reliance on equity- and debt-funded Bitcoin acquisitions.
