MicroStrategy buys another $1.1 billion in BTC amid market volatility

Documents filed by MicroStrategy with the U.S. Securities and Exchange Commission (SEC) on September 13 showed that the company acquired approximately 18,300 BTC at a price of $1.1 billion between August 6 and September 12, with an average price of $60,408 per BTC.

According to Coinflip, the company’s latest BTC purchase has resulted in a $2.2 million net loss due to current volatility .

MicroStrategy said the acquisition was funded by the sale of more than 8 million shares of the company through sales agreements with a number of financial institutions, including TD Securities, The Benchmark Company, BTIG, Canaccord Genuity, Maxim Group and SGAmericas Securities.

The proceeds from these sales are directly used to expand BTC holdings.

Notably, the company has aggressively pursued this funding strategy over the past year to accumulate top digital assets .

K33 Research noted that the company has purchased approximately 91,000 BTC from September 2023 to today.

K33 added: “August 2020-21 was the only period in which MSTR’s BTC exposure increased significantly month-on-month, reaching 105,090 BTC.”

At the same time, this latest acquisition brings the total amount of BTC held by MicroStrategy to 244,800, which is worth more than $14 billion at current prices .

The company’s total investment in BTC is $9.45 billion, with an average purchase price of $38,585 per BTC.

Saylortracker data shows the company is holding more than $4 billion in unrealized profits .

MicroStrategy Executive Chairman Michael Saylor reported a 4.4% return on BTC this quarter and a 17% return on BTC held year-to-date.

According to the SEC filing, this key performance indicator (KPI) helps evaluate the company’s strategy for acquiring BTC .

The BTC Yield Indicator tracks the percentage change in MicroStrategy's BTC holdings relative to diluted shares over time.

The firm believes this metric can deepen investors’ understanding of their decisions to fund BTC purchases through the issuance of additional shares or convertible instruments .

Despite the latest buying news, MicroStrategy shares were flat in premarket trading. However, the stock is up 91% year to date.