Notice of non-responsibility: The analyst who wrote this article has actions in the strategy.
Strategy (MSTR) Adopted a Bitcoin standard five years ago today, August 11, 2020, with its first purchase of 21,454 BTC for 250 million dollars. The acquisition has marked a historical change in the strategy of the corporate treasure.
At this stage, the former AI and software development company saw its stock market course stagnating for two decades after the start of the technical boom-And-bust at the beginning of 2000, falling by more than 95% of its peak.
However, since August 2020, MSTR has carried out 100% average annual yields, consisting of more than 3,000% of cumulative gains, while Bitcoin itself made almost 1,000% during the same period.
To finance its BTC accumulation, the company used various strategies, increasing $ 46 billion via capital and credit, which includes $ 8.2 billion in convertible debts in progress and four perpetual privileged action offers, STRK, STRF, STRD and STRC, designed to use various segments of the yield curve.
Fresh purchases continue
The company Monday morning revealed the purchase of 155 other BTCs for $ 18 million – a fairly small weekly purchase, but nevertheless bringing its total stoack to 628,946 pieces worth around 76 billion dollars. This represents 3% of the fixed offer of 21 million Bitcoin. With an average cost of around $ 74,000 per BTC, the company is on unrealized gains of around $ 30 billion, or 65%.
MSTR is today one of the most actively negotiated shares, displaying $ 4.4 billion in daily negotiation volume just behind Google (Goog) at $ 4.9 billion. The interest opened in MSTR options totals $ 90 billion, also second behind Google at $ 99 billion. Despite a market capitalization of $ 112 billion compared to the $ 2.4 billions of Google, the negotiation activity reflects the intense accent on the MSTR.
Its success inspired a wave of Bitcoin cash strategies among other companies. The 100 best public companies now collectively have 964,314 BTC, a large part funded by capital increases following the MSTR game book.
