TL;DR
- Strategy added 15,355 BTC to its balance for $1.4 billion between April 21 and 27, bringing its total Bitcoin reserves to 553,555 BTC.
- The purchase was financed with a Class A and Series A preferred stock issuance, without resorting to debt and with an annual interest rate of 8.00%.
- The company holds a market value of $52.7 billion in Bitcoin, with an unrealized gain of nearly $15 billion on its investment.
Strategy, the business intelligence firm known for its aggressive Bitcoin accumulation strategy, confirmed a new purchase of $1.4 billion.
Between April 21 and 27, the company added 15,355 BTC to its balance, bringing its reserves to a total of 553,555 Bitcoin. The purchase was made at an average price of $92,737 per unit, in a context of strong market growth, with BTC currently trading near $95,000.
Strategy Issues Stock with 8% Annual Interest Rate
The acquisition was financed through a stock issuance that included 4.02 million Class A common shares and 435,069 Series A preferred shares, with an annual interest rate of 8.00%. According to SEC filings, this maneuver allowed Strategy to obtain the necessary funds without resorting to debt, replicating a mechanism it has used repeatedly in recent years.
This acquisition marks the third consecutive week in which the company increases its Bitcoin treasury. Just one week earlier, it had reported the purchase of 6,556 BTC, and the new announcement confirms the continuation of its accumulation plan amid the sustained appreciation of BTC and the overall market.
With this operation, the market value of Bitcoin held by Strategy is around $52.7 billion. The company has an accumulated average purchase price of $68,459 per unit, which represents an unrealized gain of nearly $15 billion on its total investment of $37.9 billion.
A Key Role in BTC Stability
The announcement did not surprise the market. Over the weekend, Michael Saylor, the founder and main figure of the company, had hinted at the execution of this operation through his social media. As usual, these massive purchases had a limited effect on Bitcoin’s immediate price. However, analysts like Eric Balchunas from Bloomberg point out that Strategy’s activity acts as one of the factors maintaining some stability in the cryptocurrency’s price.
According to reports from K33 Research, the firm has only $122 million remaining from its current at-the-money stock issuance program, which was scheduled to last until 2027 but could run out in the coming days. There is growing expectation about a potential capital increase or a new financing scheme that would allow the company to sustain its purchasing policy in the medium term
