"MicroStrategy is the best, its passion to collect as much BTC as possible never fades."
The price of Bitcoin (BTC) strengthened to $73,625 as MicroStrategy, which is meeting some general corporate obligations through a hedge fund, intends to increase its holdings in the cryptocurrency by about $500 million.
As of March 10, 2024, MicroStrategy owns 205,000 units of BTC worth $6.91 billion bought when the price was at $33,706 and the firm is again offering Convertible Senior Notes* due in 2031 in a private offering to maintain their BTC strategy.
*Debt securities that contain an option where the note will be exchanged for a predetermined amount of shares of the issuer.
In the long term, the Convertible Senior Notes may be exchanged for cash, MicroStrategy class A common stock or a combination of such cash and class A stock, but all must be done at MicroStrategy's election.
Please be informed that holders of Convertible Senior Notes retain the right to require MicroStrategy to repurchase in cash all or any portion of their notes until September 15, 2028.
The firm plans to provide initial purchasers of the notes with the option to purchase within 13 days from the date the first notes are issued up to an additional $75 million in aggregate principal amount for the notes.
As a firm keen to maintain a BTC strategy without fail, more Convertible Senior Notes sales by MicroStrategy may occur more frequently following it becoming quite popular after crypto companies including Coinbase were found to be exploring debt offerings.
As of this writing, BTC price has surged by 1.89% to $72,796 in the last 24 hours with a market capitalization of over $1 trillion and a 10.48% increase over the last week.
