MicroStrategy Inc (NASDAQ: MSTR), a business intelligence company, has revealed its recent Bitcoin (BTC) purchases. According to MicroStrategy founder and Chair Michael Saylor, the company added 155 BTC to its portfolio last month, spending $5.3 million in the process. This comes after the company purchased 5,445 BTC between August and September, spending a total of $147.3 million during that period.
The latest addition brings MicroStrategy’s total Bitcoin holdings to 158,400. The company’s decision to acquire more Bitcoin comes amid a surge in crypto prices, particularly Bitcoin. While Bitcoin’s price remains within the same range as of now, there is optimism that the approval of spot Bitcoin exchange-traded funds (ETFs) will further drive its value up.
MicroStrategy’s commitment to acquiring and holding Bitcoin remains strong, as stated by Andrew Kang, the company’s chief financial officer. Kang added that the company is encouraged by the potential for increased institutional adoption of Bitcoin.
MicroStrategy’s Q3 2023 Earnings Report
In addition to its Bitcoin purchases, MicroStrategy released its earnings report for the third quarter of 2023. The report shows a 3.3% increase in revenue, reaching $130 million. However, the company also reported a net loss of $143.4 million, which is significantly higher than the $27 million net loss in the same quarter last year.
MicroStrategy attributes the net loss to its provision for income taxes, resulting from the valuation allowance on the company’s deferred tax asset related to its Bitcoin holdings. Despite the release of the earnings report, there has been no significant change in the company’s share price.
Does MicroStrategy only invest in Bitcoin?
MicroStrategy has been primarily focused on investing in Bitcoin and has been consistently adding to its Bitcoin holdings.
Why does MicroStrategy continue to acquire Bitcoin?
MicroStrategy is confident in the future value and adoption of Bitcoin. The company believes that increased institutional adoption will drive the price of Bitcoin higher.
How many Bitcoins does MicroStrategy currently hold?
MicroStrategy currently holds a total of 158,400 Bitcoins.
What was the cause of MicroStrategy’s net loss in the third quarter?
The net loss in the third quarter was largely due to the provision for income taxes resulting from the valuation allowance on the company’s deferred tax asset related to its Bitcoin holdings.
Has MicroStrategy’s share price been affected by the release of its earnings report?
According to TradingView, there has been no significant change in MicroStrategy’s share price following the release of the earnings report.
MicroStrategy Inc has purchased an additional 155 Bitcoins for $5.3 million, bringing its total Bitcoin holdings to 158,400. The company continues to show confidence in Bitcoin and its potential for increased institutional adoption. Despite recording a net loss of $143.4 million in the third quarter of 2023, MicroStrategy remains committed to acquiring and holding Bitcoin.