Bitcoin
MicroStrategy will further increase its Bitcoin holdings with $500 million bond sale
MicroStrategy announced its intention to sell $500 million in convertible bonds, specifically to finance the purchase of more Bitcoin.
The company, which currently holds 214,400 BTC valued at around $14.52 billion, holds more than 1% of the total circulating supply of Bitcoin.
The bonds, due in 2032, are aimed at qualified institutional buyers, with an option to increase sales by US$75 million in the first 13 days.
The move to sell securities for investment in Bitcoin highlights MicroStrategy’s strategic emphasis on digital currency as a key asset, with its holdings already exceeding those of any other corporate entity.
The notes will accrue interest semiannually and can be converted into MicroStrategy shares or cash under specific conditions.
This initiative is part of a broader trend of MicroStrategy’s blockchain efforts, including leveraging the Bitcoin blockchain to improve digital identity security.
In the broader business landscape, MicroStrategy’s investment moves are indicative of an emerging trend in which companies are increasingly incorporating cryptocurrencies into their treasury strategies.
Michael Saylor, the company’s founder and president, has been a vocal supporter of Bitcoin.