Thursday , October 31 2024
Home / Bitcoin (BTC) / MicroStrategy Announces $42 Billion Capital Plan To Buy More Bitcoin

MicroStrategy Announces $42 Billion Capital Plan To Buy More Bitcoin

Summary:
MicroStrategy (MSTR) announced on Wednesday that it plans to raise billion over the next 3 years to purchase more BTC for its balance sheet, and improve “BTC yield” for its shareholders.  In its Q3 earnings release, the company said that the “21/21 Plan” would involve raising billion through ATM equity offerings, and billion in fixed-income securities. As a Bitcoin Treasury Company, we plan to use the additional capital to buy more bitcoin as a treasury reserve asset in a manner that will allow us to achieve higher BTC Yield,” said Phong Le, President and Chief Executive Officer of MicroStrategy. The company’s new targets for annual BTC yield have risen to between 6% and 10%, achieved by executing such raises and offerings at the right time. MicroStrategy also

Topics:
Andrew Throuvalas considers the following as important: ,

This could be interesting, too:

Martin Young writes Visa Partners With Coinbase to Enable Real-Time Cash Outs

Chayanika Deka writes Consensys Cuts Workforce by 20%, Joe Lubin Blames SEC’s ‘Abuse of Power’

Chayanika Deka writes Circle Signs MOU with HKT For Blockchain-Based Loyalty Solutions for Hong Kong Merchants

Wayne Jones writes DOJ Charges Crypto Exchange Operator With Laundering Silk Road Proceeds

MicroStrategy (MSTR) announced on Wednesday that it plans to raise $42 billion over the next 3 years to purchase more BTC for its balance sheet, and improve “BTC yield” for its shareholders. 

  • In its Q3 earnings release, the company said that the “21/21 Plan” would involve raising $21 billion through ATM equity offerings, and $21 billion in fixed-income securities.
  • As a Bitcoin Treasury Company, we plan to use the additional capital to buy more bitcoin as a treasury reserve asset in a manner that will allow us to achieve higher BTC Yield,” said Phong Le, President and Chief Executive Officer of MicroStrategy.
  • The company’s new targets for annual BTC yield have risen to between 6% and 10%, achieved by executing such raises and offerings at the right time.
  • MicroStrategy also reported a $412 million impairment loss on its digital assets, indicating that it is yet to adopt fair value accounting for its business.
  • MicroStrategy executive chairman Michael Saylor announced this month that he plans to evolve MicroStrategy into a trillion-dollar Bitcoin bank. MSTR stock soared to 20-year highs shortly after this promise.

Leave a Reply

Your email address will not be published. Required fields are marked *