MicroStrategy Plans to Raise $750M for Bitcoin Portfolio Expansion

Michael Saylor's MicroStrategy aims to strengthen its Bitcoin portfolio with a $750 million stock sale, marking a significant leap from last year's losses.

The funds will be utilised to acquire more Bitcoins, expanding their current portfolio of 152,800 BTC, valued at $4.53 billion.

In the second quarterly earnings report, the company reported a remarkable net income of $22.2 million, in stark contrast to the previous year's loss of $1.1 billion.

In a filing with the Securities and Exchange Commission (SEC), MicroStrategy stated its plan to bolster its Bitcoin holdings by acquiring additional BTC.

This announcement triggered a notable surge in the cryptocurrency's value. The platform mentioned in its statement:

"We may offer and sell shares of our class A common stock having an aggregate offering price of up to $750,000,000 from time to time through one or more of the Agents, acting as our sales agents."

Notably, MicroStrategy's executive chairman, Michael Saylor, took to Twitter to share updates on the company's recent Bitcoin acquisitions, emphasising their enthusiasm for accumulating the digital asset.

In April, they purchased 1045 Bitcoins for approximately $29.3 million, shortly after making a substantial acquisition of 6500 Bitcoins.

The quarterly report sheds light on MicroStrategy's journey in acquiring the largest cryptocurrency by market cap. In the first quarter, the company added 12,800 Bitcoins to its holdings, amounting to $361.4 million.

During the second quarter, they further increased their stash with an additional 12,333 Bitcoins. Andrew Kang, the Chief Financial Officer of MicroStrategy, highlighted:

"We efficiently raised capital through our at-the-market equity program and used cash from operations to continue to increase bitcoins on our balance sheet. And we did so against the promising backdrop of increasing institutional interest, progress on accounting transparency, and ongoing regulatory clarity for Bitcoin."