Earlier today, ZyCrypto reported that US-based business intelligence firm MicroStrategy had filed with the SEC indicating that it was considering adding its bitcoin holdings. Well, according to the firm’s CEO, MicroStrategy has kept its word and increased its BTC holdings past the $250 million prior investment.
MicroStrategy Bets Big On Bitcoin With A Further $175 Million Investment
MicroStrategy CEO, Michael Saylor, has revealed in a September 15 tweet that the company had purchased 16,796 more bitcoins worth $175 million at the time of acquisition.
Sometime last month, MicroStrategy announced the purchase of more than 21,000 bitcoins valued at $250 million. The firm explained that it would be making bitcoin its primary reserve currency due to the asset’s evident superiority to other assets.
Given the recent purchase, MicroStrategy now owns a total of 38,250 bitcoins — worth approximately $414 million at the time of publication.
To put matters into perspective, MicroStrategy has an aggregate market capitalization of $1.4 billion. This means that their BTC investment is equivalent to 30% of their total holdings.
Bitcoin Buying Race Between Grayscale and MicroStrategy Heats Up
While MicroStrategy is now stockpiling bitcoin, it’s worth pointing out that the firm’s chief has not always been a cryptocurrency fan. Back in 2013, for instance, Saylor predicted that bitcoin was doomed to fail. “Bitcoin days are numbered. It seems like just a matter of time before it suffers the same fate as online gambling,” he tweeted at the time.
Now, it seems that Saylor’s mindset has changed as he believes bitcoin is a great hedge against inflation.
Industry experts have welcomed the news about MicroStrategy increasing its bitcoin holdings. The CEO of Grayscale Investments, Barry Silbert, has jokingly commented that there is now some sort of a race between the two firms to acquire the dominant cryptocurrency.
Clearly, MicroStrategy will have to step up its game as Grayscale currently has more than 350,000 bitcoins under its management.