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MicroStrategy further strengthens Bitcoin holdings with $500 million bond sale
MicroStrategy announced plans to sell $500 million in convertible bonds, specifically to finance the purchase of more Bitcoin.
The firm, which currently holds 214,400 BTC worth approximately $14.52 billion, holds more than 1% of the total circulating supply of Bitcoin.
The notes, due 2032, are aimed at qualified institutional buyers, with an option to raise the sale by $75 million within the first 13 days.
The move to sell bonds for Bitcoin investments highlights MicroStrategy’s strategic emphasis on the digital currency as a key asset, with its holdings already exceeding those of any other corporate entity.
The notes will accrue interest semi-annually and may be converted into MicroStrategy shares or cash under specific conditions.
This initiative is part of a larger trend of MicroStrategy’s blockchain efforts, including leveraging the Bitcoin blockchain to improve digital identity security.
In the broader corporate landscape, MicroStrategy’s investment moves are indicative of an emerging trend in which companies are increasingly incorporating cryptocurrency into their treasury strategies.
Michael Saylor, the company’s founder and president, has been a strong supporter of Bitcoin.