As Bitcoin has been falling and falling in recent months, many investors are waiting for the key price of $20,000 to buy the bottom, and MicroStrategy , known as the “Big Brother Stud” in the currency circle , is no exception. MicroStrategy CEO Michael Saylor tweeted on the evening of the 29th that MicroStrategy purchased 480 bitcoins for about $10 million in cash, with an average unit price of $20,817 per bitcoin.
The bitcoins were purchased between May 3 and June 28, according to filings with the U.S. Securities and Exchange Commission (SEC) . As of June 28, MicroStrategy held a total of 129,699 bitcoins, and the purchase cost of all bitcoins totaled $3.98 billion, and the average cost per bitcoin was about $30,664, but this also means that MicroStrategy currently holds a book loss of bitcoins has reached about 1.3 billion US dollars.
Earlier this year, MacroStrategy had bought more bitcoin by lending $205 million to cryptocurrency bank Silvergate Bank, using bitcoin as collateral. In this regard, MicroStrategy Chief Financial Officer Phone Le once said that if Bitcoin falls below $21,000, the company will be called for loan deposits due to the decline in the price of collateral assets, which means that MicroStrategy must provide more collateral for loans, otherwise it will have to Sell some bitcoin holdings.
However, Michael Saylor did not seem concerned, as he assured investors at the time that the company would be able to repay its debt and that if Bitcoin continued to fall, the company would use other collateral to back it up, indirectly denying the “sell coins” theory .
He said earlier this month that MicroStrategy had anticipated volatility in the market and had adjusted its balance sheet so the company could continue to hold bitcoin in the face of adversity.
In May of this year, despite the sell-off sweeping the cryptocurrency market, Michael Saylor remained bullish on Bitcoin. When asked if he had a target price to sell Bitcoin, he responded, “No, we are involved for the long term. .Our strategy is to buy bitcoin and hold bitcoin, so there is no so-called target price.” He added.
I expect Bitcoin to be in the millions. So, we are very patient. We think this is the future of money.
