TL;DR
- Strategy acquired 7,390 bitcoins for $764.9 million and now controls over 2.7% of the cryptocurrency’s total supply.
- The purchase was financed through the sale of class A shares and perpetual STRK preferred stock, part of its “42/42” plan to raise $84 billion in capital by 2027.
- Corporate interest in bitcoin keeps growing: Basel Medical, Metaplanet, and Méliuz announced multimillion-dollar purchases, while Bernstein projects another $330 billion could flow in over the next five years.
Strategy added 7,390 bitcoins to its corporate treasury between May 12 and May 18, in a transaction worth $764.9 million. With this latest acquisition, the company’s total holdings reached 576,230 BTC, representing more than 2.7% of bitcoin’s total supply. The average purchase price stood at around $103,498 per bitcoin, notably higher than its historical average cost of $69,726.
To fund the operation, Strategy sold over 1.7 million class A shares for $705.7 million and 621,555 perpetual preferred STRK shares for $59.7 million. These sales are part of its “42/42” plan, aimed at raising $84 billion in equity and convertible debt to buy bitcoin through 2027. The company still holds nearly $39.8 billion in available class A shares and STRK for future issuances.
Strategy Sets the Pace for Other Companies
This latest acquisition follows a previous buy of 13,390 BTC for $1.3 billion earlier in May, pushing the total purchased over the past six months to more than 303,000 bitcoins. The strategy led by founder and executive chairman Michael Saylor continues to set the pace for corporate treasuries adopting bitcoin as a primary reserve asset.
Institutional interest in this model keeps expanding. Japanese investment firm Metaplanet acquired 1,004 bitcoins for $104.3 million, increasing its reserves to 7,800 BTC. Brazilian fintech Méliuz added 274.5 bitcoins for $28.4 million after securing shareholder approval. Basel Medical Group announced plans to acquire $1 billion in bitcoin, while GD Culture Group and Nakamoto Holdings also unveiled new acquisition programs funded through stock offerings and convertible notes.
Massive Institutional Capital Injection into Bitcoin
Analysts at Bernstein estimate that companies with similar strategies could inject up to $330 billion into bitcoin over the next five years. Although the cryptocurrency’s price remains close to record highs, some analysts warn that the aggressive buying pace could eventually slow down.
Meanwhile, Strategy reported a $4.2 billion net loss in the first quarter, driven by accounting adjustments requiring unrealized losses to be recorded. Even so, the company maintains manageable debt levels, with no significant maturities until 2028.
