Strategy Scoops Up $1.05B in Bitcoin as Holdings Near 600K BTC
Bold $1.05B purchase reaffirms firm’s high-stakes Bitcoin strategy, pushing its total holdings to over 592,000 BTC.
Strategy (formerly MicroStrategy) has once again doubled down on its Bitcoin bet, announcing the purchase of 10,100 BTC for approximately $1.05 billion at an average price of $104,080 per coin, according to a Form 8-K filed with the U.S. Securities and Exchange Commission on June 16. The move cements the software company’s role as the largest corporate Bitcoin holder in the world, with a staggering 592,100 BTC now under its control.
This latest acquisition continues the Virginia-based company’s aggressive accumulation strategy, which is fueled not by core business revenues but by debt and equity financing—a model that has come to define MicroStrategy’s brand under Executive Chairman Michael Saylor.
Bitcoin Bet Reaches New Heights
MicroStrategy’s relentless Bitcoin purchases have become a staple of its corporate identity. The firm’s strategy is straightforward: buy and hold Bitcoin as a long-term store of value, regardless of short-term price movements or market volatility.
The most recent $1.05 billion investment comes on the heels of a smaller but timely acquisition just a week prior, when the company bought 1,045 BTC shortly before Bitcoin reached a new all-time high. This week’s purchase also preceded a minor rally, with Bitcoin climbing from around $104,000 to nearly $109,000, showcasing the firm’s uncanny timing and sustained appetite for the digital asset.
MicroStrategy’s average cost per Bitcoin remains high, but its bullishness has not wavered. In the SEC filing, the company emphasized that its strategy remains focused on long-term value appreciation.
Unshaken Conviction, Acknowledged Risks
Despite Bitcoin’s infamous price swings, MicroStrategy’s latest filing demonstrates unwavering confidence in the asset’s long-term fundamentals. However, the company is not blind to the risks.
“The concentration of our assets in Bitcoin limits our ability to mitigate risk that could otherwise be achieved by holding a more diversified portfolio,” the firm stated in the filing.
This admission marks a rare moment of caution from the company, which also noted that its Bitcoin-heavy strategy “has not been tested over an extended period of time or under different market conditions.”
The filing includes additional warnings about counterparty and custody risks, acknowledging that if any of its custodians were to face insolvency, access to the firm’s Bitcoin reserves could be compromised.
Financing the Bitcoin Hoard
Unlike many institutional players that rely on operational cash flows, MicroStrategy’s Bitcoin purchases are largely underwritten through debt and equity issuance. The company confirmed that this latest $1.05 billion acquisition did not involve selling any shares or Bitcoin via its at-the-market (ATM) programs.
Key highlights of MicroStrategy’s financing model include:
- Convertible notes and secured debt issuance
- Proceeds from equity offerings
- No BTC or stock sales around acquisition dates
This approach allows MicroStrategy to continue accumulating Bitcoin without liquidating existing assets, but it also introduces a dependency on favorable capital markets conditions. Should interest rates spike or investor sentiment shift, the company may find it more difficult to finance future purchases.
Context: A Post-Split Landscape
This acquisition is also the first major Bitcoin purchase disclosed by MicroStrategy since its 10-for-1 stock split in August 2024. That move aimed to increase liquidity and accessibility for retail investors. The SEC filing notes that all per-share metrics now reflect post-split adjustments, offering a clearer view into the company’s balance sheet.
The split, combined with MicroStrategy’s consistent buying behavior, has turned its stock into a proxy for Bitcoin exposure, especially for investors unable or unwilling to hold BTC directly.
Strategic Timing and Market Impact
MicroStrategy’s decision to buy another 10,100 BTC amid heightened macroeconomic uncertainty highlights its contrarian approach. With Bitcoin trading around $108,000, the purchase stands out not just for its size but also for its timing—executed during a period of market turbulence and elevated inflation concerns.
This move could have ripple effects across the crypto space, as institutional investors watch closely to gauge sentiment. Michael Saylor’s relentless buying may bolster confidence among retail holders and other corporate treasuries, reinforcing the narrative that Bitcoin is becoming a strategic reserve asset.
Looking Ahead: Risk and Reward
As Bitcoin inches closer to mainstream financial infrastructure, MicroStrategy’s all-in approach is increasingly under the spotlight. The company’s enormous exposure means it will benefit enormously from Bitcoin price appreciation—but it also remains vulnerable to sharp drawdowns, regulatory shifts, or disruptions in capital access.
Still, the firm shows no signs of slowing down. With nearly 600,000 BTC now in its treasury and a playbook that continues to emphasize high-conviction buying, MicroStrategy has become the de facto institutional face of Bitcoin maximalism.
As markets evolve and digital assets mature, MicroStrategy’s bold strategy will either be vindicated as visionary—or remembered as a cautionary tale of concentrated risk. For now, however, the company remains unflinching in its belief that Bitcoin is the best long-term asset in the world.
