MicroStrategy has just announced that it successfully raised $1.01 billion in an enlarged convertible note offering with a 0.625% coupon and a 40% conversion premium.
The company has detailed how it plans to use the funds in a press release, but Michael Saylor has gone ahead and revealed a large BTC purchase.
MicroStrategy has acquired 7,420 BTC for $458.2 million at $61,750 per bitcoin and has achieved a BTC yield of 5.1% this quarter and 17.8% for the year. As of 9/19/2024, MicroStrategy holds 252,220 BTC acquired with a value of around $9.9 billion at a price of $39,266 per bitcoin.
The current value of MicroStrategy's BTC holdings is around $15.8 billion. This means they are enjoying a paper profit of around $6 billion or about 60%.
The highly anticipated business week actually started with a drop on Monday that saw the major cryptocurrency drop from over $60,000 to less than $58,000 in a matter of hours. However, a quick rebound took place as the bounce regained control of the market and pushed the asset above $61,000 ahead of Thursday's FOMC meeting.
After the meeting, when the US central bank announced a 0.5% reduction in key interest rates, BTC experienced significant volatility. Nevertheless, the buying came out stronger, at least for now, and started an impressive rally for bitcoin.
The asset reached $63,000 for the first time in three weeks. However, it continued to add value and briefly topped $64,000 for the first time since late August before retreating slightly.
However, the rally has stalled for now, and BTC is now about $1,000 lower. It is still up 2% today, which has increased its market cap to $1.250 trillion. BTC's dominance over altcoins has dropped to 54.3% after surpassing 55% yesterday for the first time in nearly four years.
