Strategy said on November 2 that it bought 811 bitcoin for $65.5 million between October 26 and November 1 at an average price of $80,846 per coin. The purchase lifted the company's total holdings to 849,327 bitcoin, which it valued at about $65.9 billion in its SEC filing.
Strategy's 849,327 bitcoin, carried at about $65.9 billion in its filing, make its disclosed purchases a visible source of demand for the asset. The company funded the latest 811 bitcoin with $164 million of MSTR share sales, tying its bitcoin position to continued equity issuance.
Strategy bought 811 bitcoin for $65.5 million between October 26 and November 1 at an average price of $80,846 per coin, the company disclosed on November 2. The purchase followed a week in which Strategy made no bitcoin acquisition and instead repurchased preferred shares.
The acquisition brought Strategy's total holdings to 849,327 bitcoin, worth about $65.9 billion in its SEC filing. The company has spent $64.08 billion to build the position, an average of $75,451 per coin. Earlier in October it bought 267 bitcoin for $22.1 million.
Strategy financed the latest purchase with sales of 1,178,552 MSTR shares through its stock offering program, raising about $164 million. Of that, $65.5 million went to bitcoin and $98.5 million to its USD Cash account. During the week it also bought 2,092,035 STRC preferred shares for $208.2 million and used $132.7 million of USD cash on November 1.
After paying a preferred stock dividend of $43.4 million, Strategy's USD reserve stood at $4.79 billion. The company said its combined dollar assets covered dividend and interest payments for about 3.3 years.
The disclosure followed third-quarter earnings on October 29, when Strategy reported net income of $19.53 billion, helped by a $20.91 billion increase in digital assets revenue. Software revenue fell 3% to $125.4 million. The company has also reported a 3.7% negative bitcoin yield year to date.
Michael Saylor has said bitcoin could recover above $100,000 despite recent market weakness. In an October interview he described the market as entering another bullish phase but did not promise a year-end recovery, and during the earnings announcement he again described the market as at the beginning of a bull run.
MSTR shares closed Friday at $130.51 after falling 9.6% during the week, while bitcoin declined 3.6%. The stock later rose to $133 in Monday's premarket trading, a gain of 1.91% from Friday's close.
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